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A company has a 12% wacc and is considering 2 mutually exclusive investments with the following cash flows: a. What is each projects NPV? b.

A company has a 12% wacc and is considering 2 mutually exclusive investments with the following cash flows:

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a. What is each projects NPV?

b. What is each projects IRR?

c. What is each projects MIRR? Consider Period 5 as the end of Project B.

d. What is each projects PI?

e. Based on these numbers, which project should you accept?

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