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Alternatives A and B require investments of $10,310 and $13,400, respectively. Their respective net annual cash inflows are $3,300 and $4,000. What is the rate
Alternatives A and B require investments of $10,310 and $13,400, respectively. Their respective net annual cash inflows are $3,300 and $4,000. What is the rate of return for each alternative and for the incremental difference? If the interest rate is 10% which alternative should be selected? Contributed by Yasser Alhenawi, University of Evansville 7-64 , Alternatives A and B require investments of $10,310 and $13,400, respectively. Their respective net annual cash inflows are $3,300 and $4,000. What is the rate of return for each alternative and for the incremental difference? If the interest rate is 10% which alternative should be selected? Contributed by Yasser Alhenawi, University of Evansville 7-64
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