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Consider the following two mutually exclusive projects: Consider the following two mutually exclusive projects: Year 1 2 3 4 Cash Flow (A) -$334,655 28,700 52,000

Consider the following two mutually exclusive projects:

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Consider the following two mutually exclusive projects: Year 1 2 3 4 Cash Flow (A) -$334,655 28,700 52,000 58,000 389,000 Cash Flow (B) -$14,808 4,139 8,463 13,079 8,661 Whichever project you choose, if any, you require a 6 percent return on your investment. a. What is the payback period for Project A? b. What is the payback period for Project B? c. What is the discounted payback period for Project A? d. What is the discounted payback period for Project B? e. What is the NPV for Project A? f. What is the NPV for Project B? g. What is the IRR for Project A? h. What is the IRR for Project B? i. What is the profitability index for Project A? j. What is the profitability index for Project B

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