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capital budgeting The RGM Corporation is analyzing four capital projects with expected cash flows as follows: Year 0 1 2 3 4 Project A ()

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capital budgeting

The RGM Corporation is analyzing four capital projects with expected cash flows as follows: Year 0 1 2 3 4 Project A () ( 200,000) 50,000 50,000 50,000 50,000 50,000 50,000 Project B () (400,000) 100,000 120,000 150,000 180,000 Project C() (600,000) 150,000 150,000 150,000 150,000 150,000 150,000 Project D() ( 400,000) 80,000 80,000 120,000 120,000 120,000 | The firm's cost of capital is 10% and the firm is planning to evaluate the projects by using the net present value (NPV). Determine which project should be accepted by using the: a. Payback Period b. Net Present Value

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