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Using the Net Present Value Method the Total Present Value

Question 33

Multiple Choice

Using the net present value method the total present value of cash inflows for Project A is $30000 and the total present value of cash inflows of Project B is $35000. If Project A and Project B both require an initial investment of $30000 and have the same economic life the project that should be accepted is


A) Project A.
B) Project B.
C) neither; they are both the same.
D) not capable of being calculated.

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