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A firm evaluates all of its projects by using the NPV decision rule. Year 0 1 2 3 Cash Flow -$ 25,000 24,000 13,000 7,000

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A firm evaluates all of its projects by using the NPV decision rule. Year 0 1 2 3 Cash Flow -$ 25,000 24,000 13,000 7,000 a. At a required return of 22 percent, what is the NPV for this project? NPV $ 7,261 $ 7,624 $ 6,971 $ 7,407 b. At a required return of 36 percent, what is the NPV for this project? NPV $2,581.32 $2,360.07 $2,507.57 $2,409.23

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