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ABC is considering Projects S and L These projects are mutually exclusive, equally risky, and not repeatable and their cash flows are shown below. At

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ABC is considering Projects S and L These projects are mutually exclusive, equally risky, and not repeatable and their cash flows are shown below. At the discount rate of the NPV of 5 equals the NPV of L. Year CFL CFS -$1,025 $1.025 $850 $100 2 $350 $250 3 $250 S600 $50 $850 1 -4

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