Back Manufacturing is considering three capital investment proposals. At this time, Back only has funds available to
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Back Manufacturing is considering three capital investment proposals. At this time, Back only has funds available to pursue one of the three investments.
Which investment should Back pursue at this time? Why?
Transcribed Image Text:
Present value of net cash inflows Initial investment NPV Equipment A $ 1,695,378 (1,356,302) $ 339,076 Equipment B $1,969,888 (1,601,535) $368,353 Equipment C $ 2,169,724 (1,903,267) $ 266,457
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ISBN: 9781292105871
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