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Consider two mutually exclusive new product launch projects that Nagano Golf is considering. Assume the discount rate for both products is 17 percent. Project A:

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Consider two mutually exclusive new product launch projects that Nagano Golf is considering. Assume the discount rate for both products is 17 percent. Project A: Nagano NP-30. Professional clubs that will take an initial investment of $750,000 at Year O. For each of the next 5 years, (Years 1-5), sales will generate a consistent cash flow of $350,000 per year. Introduction of new product at Year 6 will terminate further cash flows from this project. Project B: Nagano NX-20 High-end amateur clubs that will take an initial investment of $1,000,000 at Year O. Cash flow at Year 1 is $300,000. In each subsequent year, cash flow will grow at 10 percent per year. Introduction of new product at Year 6 will terminate further cash flows from this project. Year | NP-30 NX-20 -$750,000 $1,000,000 350,000 300,000 350,000 330,000 350,000 363,000 350,000 399,300 350,000 439,230 0 Complete the following table: (Do not round intermediate calculations. Round your "pl" answers to 3 decimal places, e.g., 32.161, and other answers to 2 decimal places, e.g., 32.16. Enter your IRR answers as a percent.) NP-30 NX-20 years Payback IRR PI years % NPV

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