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Assuming the company requires an 7% return from capital investments determine the net present value of the two alternatives. Discuss the advantages and disadvantages of

Assuming the company requires an 7% return from capital investments determine the net

present value of the two alternatives. Discuss the advantages and disadvantages of using the

net present value method to evaluate capital investment decisions. Based on the results of the

calculated net present value, which investment would you recommend that Mike and Tim

pursue?

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