The following are the cash flows of two independent projects:   Year Project A Project B 0 $ (280 ) $ (280 ) 1   160     180   2   160     180   3   160     180   4   160             a. If the opportunity cost of capital is 10%, calculate the NPV for both projects. (Do not round intermediate calculations. Round your answers to 2 decimal places.)           b. Which of these projects is worth pursuing?     Project A Project B Both Neither

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Production Budget

A budget can be defined as a financial plan designed by an undertaking for a definite period in the future that can contribute towards enhancing the financial success of the business undertaking. It is used to estimate the revenue and expenses. The budget generally takes into account both current and future income and expenses.