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Company A is considering two investment projects, Project X and Project Y . The initial investments and projected annual cash flows for each project are

Company A is considering two investment projects, Project X and Project Y. The initial investments and projected annual cash flows for each project are as follows:
Project X: Initial Investment: $10,000 Annual Cash Flows: $2,500 for 5 years
Project Y: Initial Investment: $15,000 Annual Cash Flows: $5,750 for 3 years
Using the roll-over method, determine which project should be selected. Assume a 6% discount rate.
The NPV of the preferred project is??

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