Use the Table for the Question(s)below

question 8

Multiple Choice

Use the table for the question(s) below.
Consider the following mutually exclusive projects:
-The NPV of project B is closest to:

• A)$18.10.
• B)$21.70.
• C)$24.00.
• D)$16.90.

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Definitions:

Legacies

Gifts or inheritances left to someone in a will.

Grantor Trust

A grantor trust is a legal entity in which the trust's creator maintains control over the assets and income, often leading to the income being taxed directly to the creator.

Federal Income Tax

The tax levied by the IRS on the annual earnings of individuals, corporations, trusts, and other legal entities.

Inter Vivos Trust

A legal arrangement where assets are transferred into a trust for the benefit of beneficiaries by the trustor during their lifetime.