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Bluth Co . is considering the purchase of new laptops for their staff. Computer A cost $ 1 , 8 7 0 and will generate

Bluth Co. is considering the purchase of new laptops for their staff. Computer A cost $1,870 and will generate an increase in sales of $549 in year 1,$645 in year 2, and $2,275 in year 3. Computer B costs $1,600 and will generate an increase in sales of $1,368 in year 1,$1,040 in year 2, and $474 in year 3. If the cost of capital is 23%, what is the crossover rate and which project should management choose?
9.14%, computer B is the better choice
12.08%
, computer B is the better choice
9.14%, computer A is the better choice
10.51%
, computer B is the better choice
12.08%
computer A is the better choice
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