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highest NPV . The cost of capital is 1 7 . 5 % . a . Find the NPV for each project. Are the projects
highest NPV The cost of capital is
a Find the NPV for each project. Are the projects acceptable?
b Find the breakeven cash inflow for each project.
d Which project is more risky? Which project has the potentially higher NPV Discuss the riskreturn tradeoffs of the two projects.
e If the firm wished to minimize losses that is NPV $ which project would you recommend? Which would you recommend if the goal was achieving a higher NPV
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