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What is the net present value for each project

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Problem - A company is comparing two potential three-year investments at a discount rate of 12%. Project A costs $3,500 but should generate a return of $5,000 at the end of the third year, and Project B costs $5,000 but should generate a return of $7,800 at The end of the third year. What is the net present value (NPV) for each project?

A. Project A: $503.08; Project B: $1,244.80

B. Project A: $3,558.97; Project B: $5,552.00

C. Project A: $58.97; Project B: $552.00

D. Project A: $4,003.08; Project B: $8,244.80

Reference no: EM132463960

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