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Michelle and Jane are both considering opening a boutique appealing to young professional women. They...

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Accounting

Michelle and Jane are both considering opening a boutique appealing to young professional women. They both expect to have the same stream of future cash flows, both make the same original investment, and both have exactly the same scenarios that may occur. Michelle has a cost of capital that is higher than Jane's. Which statement below is true?

A. Michelle will have a higher expected net present value than Jane.

B. Jane will have the higher net present value than Michelle.

C. Both should have the same expected net present value.

D. Any of the above are equally likely.

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