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2. Consider the following streams of cash flows for projects A and B which you, as the capital budgeting manager for your firm have been

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2. Consider the following streams of cash flows for projects A and B which you, as the capital budgeting manager for your firm have been asked to evaluate. The required return for both projects is 12. Use the information to answer questions 2a and 2b Year CASHFLOW FOR ProjectD 100, 000 150,000 200,000 Project E $ 75,000 55,000 50,000 2a. Calculate the present value of projeat D. (9 pt) 2b. Calculate the Future Value of the cash flows for project . Assume quarterly compounding. (8 pt) 2c The Corner Bank is offering you a credit card with an APR of 24 percent. The bank compounds the interest rate on a monthly basis. What is the effective annual rate? (5 pt)

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