A small company has the choice of investing 27,000 in one of two projects. The...
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Accounting
A small company has the choice of investing 27,000 in one of two projects. The market rate is r = 12%, and the revenues are as follows: Year 1 Year 2 Year 3 Year 4 Year 5 Total Project A 8,000 f 9,500 9,000 7,000 f 12,500 46,000 Project B E 9,000 11,000 8,000 9,500 12,000 49,500 Which project should the company invest in? (12 marks)
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