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2) A firm is evaluating a project with the following cash flows: Year 0: - 28000 Year 1: 12000 Year 2: 15000 Year 3: 11,000

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2) A firm is evaluating a project with the following cash flows: Year 0: - 28000 Year 1: 12000 Year 2: 15000 Year 3: 11,000 a) If the required return is 14%, what is the NPV? b) And what is the IRR (use the spreadsheet)? c) If the required return is 11%, using the NPV rule, should the firm accept the project? .) What if the required return is 25%, should the firm accept the project

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