The HAT GmbH is planning to invest in new facilities for the production of headwear. The choices presented to the board
Posted: Sat Feb 19, 2022 2:32 pm
The HAT GmbH is planning to invest in new facilities for the production of headwear. The choices presented to the board will result in the following cashflows: The Cost of capital is 10%. Period 0 1 2 13 Project A - 50.000 € 30,000 € 15,000 € 17 000 € Project B -100.000 € 60.000 € 58,000 € Project C -100,000 € 30,000 € 81.000 € Project D -100,000 € 820,000 € -778.000 € What are the net present values (NPV) of project alternative A and alternative B? Select one: A. The NPV of alternative A equals 2,441.77 EUR, the NPV of alternative B is 2.441.77 EUR. B. The NPV of alternative A equals 2,441.77 EUR, the NPV of alternative B is 2,479.34 EUR. C. None of the answers is correct. CD. The NPV of alternative A equals 2,479,34 EUR, the NPV of alternative B is 2.479.34 EUR.