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A firm is considering investing in the following two mutually exclusive projects. NPV IRR Project 1 $5,000 20% Project 2 $6,000 10% Which of the
A firm is considering investing in the following two mutually exclusive projects.
NPV
IRR
Project 1
$5,000
20%
Project 2
$6,000
10%
Which of the following statements is correct?
Select one:
a. The firm should invest in both projects.
b. The firm should invest in Project 1.
c. The firm should invest in Project 2.
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