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Assume you have two projects with different lives. Project A is expected to generate present value cash flows of $5.2 million and will last 7 years. Project B is expected to generate present value cash flows of $3.8 million and will last 5 years. Given a required return of 9%, Project A has an equivalent annual annuity of which is than Project B. ANSWER $.97695 million, better $1.03319 million, worse $1.03319 million, better I DON'T KNOW YET
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Assume you have two projects with different lives. Project A is expected to generate present value c...
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