Question
Consider two mutually exclusive projects, A and B, whose costs and cash flows are shown in the following table: Year Project A Project B 1
Consider two mutually exclusive projects, A and B, whose costs and cash flows are shown in the following table:
Year Project A Project B
1 $(15,000) $(22,840)
2 9,000 8,000
3 8,000 8,000
4 2,500 8,000
5 3,000 8,000
Calculate the cross over rate.
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Multinational Business Finance
Authors: David K. Eiteman, Arthur I. Stonehill, Michael H. Moffett
14th edition
133879879, 978-0133879872
