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eBook A firm with a WACC of 10% is considering the following mutually exclusive projects: 0 1 2 3 4 5 + $60 $200 $200
eBook A firm with a WACC of 10% is considering the following mutually exclusive projects: 0 1 2 3 4 5 + $60 $200 $200 Project 1 - $350 $60 $60 Project 2 -$500 $200 $200 Which project would you recommend? $125 $125 $125 Select the correct answer. a. Project 2, since the NPV2> NPV1. O b. Neither Project 1 nor 2, since each project's NPV NPV2. d. Both Projects 1 and 2, since both projects have IRR's > 0. e. Both Projects 1 and 2, since both projects have NPV'S > 0
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