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EMERGENCY !!!! Assume that a company faces two mutually exclusive project options to invest. Initial costs and the cash flows along with the IRRs of

EMERGENCY !!!!

Assume that a company faces two mutually exclusive project options to invest. Initial costs and the cash flows along with the IRRs of each investment are given below for each option. Given that interet is 5%, find A and B. Which project you select?

Year Project A($) Project B ($)
0 -18000 -23000
1 8412 3570
2 B 3*B
3 6000 A
IRR 0,07 0,06

Select one:

a. A=4300, B=6000, Select Project 1

b. A=26000, B=4000, Select Project 2

c. A=10000, B=10000, Select Project 1

d. A=8000, B=9000, Select Project 1

e. A=11600, B=2000, Select Project 2

f. A=22000, B=8000, Select Project 2

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