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A company has identified the following investments as looking promising. Each requires an initial investment of $1.2 million. Which is the best investment? O A.

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A company has identified the following investments as looking promising. Each requires an initial investment of $1.2 million. Which is the best investment? O A. a perpetuity that generates a cash flow at the end of year 1 of $100,000, has a growth rate of 1.25%, and a cost of capital of 10.8% O B. a perpetuity that generates a cash flow at the end of year 1 of $800,000, has a growth rate of 2.25%, and a cost of capital of 11.6% O C. an investment that generates a cash flow of $400,000 at the end of each of the next five years, when the cost of capital is 6.2% O D. an investment that generates a cash flow of $200,000 at the end of each of the next ten years, when the cost of capital is 6.2%

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