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A medical equipment manufacturing firm is considering two mutually exclusive projects, both of which have an economic service life of one year with no salvage

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A medical equipment manufacturing firm is considering two mutually exclusive projects, both of which have an economic service life of one year with no salvage value. The initial cost and the net-year-end revenue for each project are given in the following table: Project 1Project 2 $1,000 $800 Probability Revenue Probability Revenue $2,500 Initial Cost Not Revenue given inP$00004$2.9%0 0.2 0.6 0.3 0.4 Net Revenue given in PW $3,000

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