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A firm with a WACC of 1 0 % is considering the following mutually exclusive projects: 0 1 2 3 4 5 Project 1 -

A firm with a WACC of

10 %

is considering the following mutually exclusive projects:

0 1 2 3 4 5

Project

1 -

200

45

45

45

220

220

Project

2 -

650

200

200

110

110

110

Which project would you recommend?

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