The Following Information Relates to Three Mutually Exclusive Projects REQUIRED $\text { Compute the net present value of each project at a discount rate of } 10 \% \text {. }$

question 63

Essay

The following information relates to three mutually exclusive projects. $\begin{array}{rrrr}& \text { Project } A & \text { Project } B & \text { Project C } \\\text { Initial cash outlay } & \$ 40,000 & \$ 40,000 & \$ 40,000\\\text { Net cash inflows: }\\year1 & 3,000 & 16,000 & 12,000 \\2 & 7,000 & 13,000 & 12,000 \\3 & 11,000 & 10,000 & 12,000 \\4 & 15,000 & 7,000 & 12,000 \\5 & 19,000 & 4,000 & 12,000\\\text { Salvage value Year } 5&8,000 & \text { Nil } & 2,000\end{array}$ REQUIRED:
$\text { Compute the net present value of each project at a discount rate of } 10 \% \text {. }$

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Definitions:

Anticonformity

The deliberate opposition to social norms and conventions, where individuals choose to behave in ways distinctly different from or against the expected norms.

Independence

The state or condition of being free from reliance on, control by, or influence from others, often associated with self-sufficiency.

Group Size

Refers to the number of individuals forming a social or working group, affecting dynamics and outcomes of group processes.

Social Comparison

The process of comparing oneself to others in order to evaluate or enhance one's own abilities or opinions.