5. A company provides you the following information relating to two mutually exclusive projects. Particulars Project M

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5. A company provides you the following information relating to two mutually exclusive projects.

Particulars Project M Project N PV of Cash Inflow (`)

Initial Outlay (`)

Life (Years)

1,50,000 1,20,000 5

2,80,000 2,40,000 5

Advise the company regarding the selection. Will NPV method be appropriate in this case? 

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Financial Management

ISBN: 9789352605606

1st Edition

Authors: Swapan Sarkar, Bappaditya Biswas, Samyabrata Das, Ashish Kumar Sana

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