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22. (Related to Checkpoint 11.1, Checkpoint 11.3, and Checkpoint 11.4) (Net present value, profitability index, and internal rate of return calculations) You are considering two

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(Related to Checkpoint 11.1, Checkpoint 11.3, and Checkpoint 11.4) (Net present value, profitability index, and internal rate of return calculations) You are considering two independent projects, Project A and Project B. The initial cash outlay associated with Project A is $52,000 and the initial cash outlay associated with Project B is $72,000. The discount rate on both projects is 10.5 percent. The expected annual cash flows from each project are as follows: Year Project A Project B 0 $(52,000) $(72,000) 1 12,000 13,000 2 12,000 13,000 3 12,000 13,000 4 12,000 13,000 5 12,000 13,000 6 12,000 13,000 (Click on the icon in order to copy its contents into a spreadsheet.) Calculate the NPV, PI, and IRR for each project and indicate if the project should be accepted or not. a. The NPV of Project A is $ (Round to the nearest cent.)

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