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A retail department store must make a choice between two investments with a preferred rate of return of 15%. Alternative I will provide the store
A retail department store must make a choice between two investments with a preferred rate of return of 15%. Alternative I will provide the store with returns of $17,000 at the end of the third and fourth years and $65,000 at the end of six years. Alternative 2 will provide the store with annual returns of $12,500 for six years. What is the NPV of Alternative 1? Draw a timeline in your notes to practice! Select one: O a. $75,000 O b. $48,999 O c. $47,306 O d. $24,471
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