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Fortive is evaluating two investment opportunities, each of require the upfront expenditure noted below. The estimated cash flows and discount rate for each are as

Fortive is evaluating two investment opportunities, each of require the upfront expenditure noted

below. The estimated cash flows and discount rate for each are as follows:

Year 0

Year 1

Year 2

Year 3

Project A

($7,000)

$5,500

$2,500

$1,500

Project B

($7,000)

$1,500

$2,500

$5,500

Show a timeline of cashflows for each project. What is the NPV of each project at a discount rate of

5%? What is the NPV of each project at a discount rate of 14%

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