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E. If the profitability index is higher than zero, we accept the project; otherwise, reject. 4. Project valuation Consider the following two mutually exclusive projects

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E. If the profitability index is higher than zero, we accept the project; otherwise, reject. 4. Project valuation Consider the following two mutually exclusive projects that have the required rate of return of 6%; Year Project A -$317,000 $27,700 $56,000 $325,000 Project B -$26,500 $9,057 $10,536 $11,849

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