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Compute the NPV for Project A and B, with a required rate of return of 15%. Determine the best project to invest in. Year Project
Compute the NPV for Project A and B, with a required rate of return of 15%. Determine the best project to invest in.
Year Project A Cash Flows Project B Cash Flows
0 -$300,000 -$500,000
1 $100,000 $200,000
2 $175,000 $250,000
3 $200,000 $300,000
A. Project B, 500,000
B. Project A, 300,000
C. Project B, 60,200.58
D. Project A, 50,782.73
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