# college finance

You are considering two independent projects that have differing requirements. Project A has a required return of 12 percent compared to Project B’s required return of 13.5 percent. Project A costs \$75,000 and has cash flows of \$21,000, \$49,000, and \$12,000 for Years 1 to 3, respectively. Project B has an initial cost of \$70,000 and cash flows of \$15,000, \$18,000, and \$41,000 for Years 1 to 3, respectively. Given this information, you should:

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