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How to calculate Cash Flows of two mutually exclusive investments.The projects' expected net cash flows are as follows and the cost of capital is 12%:
How to calculate Cash Flows of two mutually exclusive investments.The projects' expected net cash flows are as follows and the cost of capital is 12%:
Time Project A Project B
0 -188 -288
1 -150 95
2 -100 95
3 -50 95
4 300 95
5 300 95
6 463 95
7 -100 0
Based on the calculation which project should be selected?
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