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1 8 . Johnson Jets is considering two mutually exclusive projects. Project A has an up - front cost of $ 1 2 2 ,
Johnson Jets is considering two mutually exclusive projects. Project A has an upfront cost of $CF and produces positive aftertax cash inflows of $ a year at the end of each of the next six years. Project B has an upfront cost of $CF and produces aftertax cash inflows of $ a year at the end of the next four years. Assuming the cost of capital is Compute the equivalent annual annuity of project A in box Round the EAA to a whole dollar without the dollar sign or comma, egnonnegative number Compute the equivalent annual annuity of project B in box The same format as box Decide which project to undertake in box either Project A or Project B
Johnson Jets is considering two mutually exclusive projects. Project A has an upfront cost of $CF and produces positive aftertax cash inflows of $ a year at the end of each of the next six years. Project B has an upfront cost of $CF and produces aftertax cash inflows of $ a year at the end of the next four years. Assuming the cost of capital is
Compute the equivalent annual annuity of project A in box Round the EAA to a whole dollar without the dollar sign or comma, egnonnegative number
Compute the equivalent annual annuity of project B in box The same format as box
Decide which project to undertake in box either Project A or Project B
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