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Financing Cost (Discount Rate): 12% Initial Capital Outlay: $100,000 Cashflow (net revenue) Year 1: $0 Year 2: $60,000 Year 3: $60,000 Year 4: $40,000

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Financing Cost (Discount Rate): 12% Initial Capital Outlay: $100,000 Cashflow (net revenue) Year 1: $0 Year 2: $60,000 Year 3: $60,000 Year 4: $40,000 Project Two Financing Cost (Discount Rate): 10% Initial Capital Outlay: $100,000 Cashflow (net revenue) Year 1: $60,000 Project Three Year 2: $60,000 Year 3: $40,000 Financing Cost (Discount Rate): 10% Initial Capital Outlay: $100,000 Cashflow (net revenue) Year 1:50 Year 2: $60,000 Year 3: $60,000 Year 4: $40,000 Without calculating the present value, rank the three projects in order from most profitable to least profitable and briefly explain the reasons for your choices.

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