Question: A developer is considering two projects. Project A has a capital cost of $1,090,000 and a life of 18 years. Income for the project will be $365,000 per year. At the end of 18 years the project can be sold for $200,000. The project's discount rate is 18%. What is the Net Present Value for Project A? (Answer to the nearest dollar) Project B has a capital cost of $530,000 and a life of 10 years. Income for the project will be $80,000 per year. At the end of 10 years the project can be sold for $300,000. The project's discount rate is 8%. What is the Net Present Value for Project 8? (Answer to the nearest dollar)

Price: $2.99

Solution: The downloadable solution consists of 2 pages
Deliverable: Word Document