My homework poses this question:
Before I answer the obvious of project B, I am wondering if anyone knows any reasons what the catch is here??


As a financial officer, you must determine which
project your company should accept. The projects are mutually exclusive and the net
present value (NPV) calculations for each take into account the project’s risk. Indicate
which project (A or B) you would recommend and explain your reasons for this
recommendation.
Project A
NPV$3 million
Risk level very risky
Project B
NPV $2.5 million
Risk level very safe