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Compare the following projects using the NPV method and the EAA method if the cost of capital is 17%. Year Project A Project B 0
- Compare the following projects using the NPV method and the EAA method if the cost of capital is 17%.
| Year | Project A | Project B |
| 0 | ($400,000) | ($400,000) |
| 1 | $175,000 | $160,000 |
| 2 | $225,000 | $160,000 |
| 3 | $300,000 | $160,000 |
| 4 | $200,000 | $160,000 |
| 5 | $160,000 | |
| 6 | $155,000 | |
| 7 | $155,000 | |
| 8 | $155,000 |
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Fundamentals Of Financial Management
Authors: James Van Horne, John Wachowicz
13th Revised Edition
978-0273713630, 273713639
