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A company has performed a financial analysis of two mutually exclusive investments, Project A and Project B, and the results are summarised in the following
A company has performed a financial analysis of two mutually exclusive investments, Project A and Project B, and the results are summarised in the following table:
Project A | Project B | |
PI | 1.34 | 1.84 |
IRR | 19% | 104% |
NPV | $5,661.21 | $2,401.15 |
Which investment should the company accept? Explain.
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