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A Company has three potential projects in which to invest. The cash flows for each project are shown in the table below. The risk-free interest

A Company has three potential projects in which to invest. The cash flows for each project are shown in the table below. The risk-free interest rate is 15%. If the company has limited resources in what order should it accept and undertake the projects? Show all workings and explain your reasoning.

Project cash flow year1 cash flow year2 cash flow year3
A

90

-60 120
B

-90

40 30
C

90

0 70

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