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2 ) Should you accept a project that costs $ 1 2 5 , 0 0 0 initially, and provides cash flows of $ 4

2) Should you accept a project that costs $125,000 initially, and provides cash flows of $45,000, $60,000 and $75,000 for the following three years, given that the project has the same risk as another project, which requires an initial investment of $50,000 and needs to create an annual cash flow of $9,000 forever to financially break-even (i.e., to have an NPV equal to 0)?

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