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9.7 The director of capital budgeting for Big Sky Health Systems Inc. has estimated the following cash flows (in thousands of dollars) for a proposed

9.7

The director of capital budgeting for Big Sky Health Systems Inc. has estimated the following cash flows (in thousands of dollars) for a proposed new service:

Year Expected Net Cash Flow

0 ($100)

1 $70

2 $50

3 $20

What is the projects payback period?

What is the projects NPV?

What is the projects IRR?

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