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Example Consider the following mutually exclusive projects. Over what range of discount rates would the company choose project A? Project B? At what discount rate
Example Consider the following mutually exclusive projects. Over what range of discount rates would the company choose project A? Project B? At what discount rate would the company be indifferent between these two projects? YearCash Flow (A) -$43,500 21,400 18,500 13,800 7,600 Cash Flow (B) $43,500 6,400 14,700 22,800 25,200
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