Question: You have been asked by Aztec Ltd to consider the following cash flows for 2 mutually exclusive investments: Investment A; 0 -$15,000 $8,000 $8,000

You have been asked by Aztec Ltd to consider the following cash flows for 2 mutually exclusive investments:

You have been asked by Aztec Ltd to consider the following cash flows for 2 mutually exclusive investments: Investment A; 0 -$15,000 $8,000 $8,000 Investment B; $8,000 0 -$10,000 3 $6,500 $6,500 $6,500 Suppose the required rate of return is 6% p.a. Which of these investments do you prefer based on NPV?!

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