Tb mc qu. 09-59 two mutually exclusive projects two mutually exclusive projects have an initial cost of $47,500 each. project a produces cash inflows of $25,300, $37,100, and $22,000 for years 1 through 3, respectively. project b produces cash inflows of $43,600, $19,800 and $10,400 for years 1 through 3, respectively. the required rate of return is 14.7 percent for project a and 14.9 percent for project b. which project(s) should be accepted and why?

Secured loans are protected by collateral security. examples: title loans where the borrower uses the car title as collateral security interest rates are lower and repayments are longer therefore risk is low as a collateral security is given as guarantee to the bank in case of failure to pay the loanunsecured loans are not protected by collateral security but it is given on the creditworthiness of the borrower, trusting that she/he will pay on time. examples; payday loans is a short term loan where the borrower lends money from the bank and pays is back when the borrower receives his/her wages.interest rates are high and repayments are shorter. but the risk is high as no collateral security is given as a guarantee to the bank for payment of the loan