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A company has the opportunity to do any of the projects for which the net cash flows per year are shown below. The company has
A company has the opportunity to do any of the projects for which the
net cash flows per year are shown below. The company has a cost of capital of 12%.
Which should the company do and why? You must use at least two capital budgeting
methods. Show your work
Year A B C
0 -350 -250 -250
1 100 -50 100
2 100 100 100
3 100 100 100
4 100 100 100
5 100 100 100
6 50 100 100
7 -200 -200 0
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