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Examples 1. A firm with a WACC of 10% is considering the following mutually exclusive projects: 0 3 2 + $55 $300 Project A -$400

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Examples 1. A firm with a WACC of 10% is considering the following mutually exclusive projects: 0 3 2 + $55 $300 Project A -$400 Project B-S600 $55 $300 $55 $50 $225 $50 5225 $49 a. Determine the NPV, IRR and MIRR of each project. b. Which project would you recommend? Explain

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