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ichardson Products is analyzing two mutually exclusive projects, each with a 3-year life. Both projects are of equal risk and the opportunity cost is 10%.
ichardson Products is analyzing two mutually exclusive projects, each with a 3-year life. Both projects are of equal risk and the opportunity cost is 10%. The projected cash flows rom two projects are as follows: 1) (12 points) Calculate the discounted payback period for each project. Using the discounted payback decision rule, which project should be accepted? Copy the table in below to your answer and complete your answer Project P Project Q Discounted CF CUM Discounted CF Discounted CFICUM Discounted CF t=0||-$65.000 $65,000 t-1 CF CF O 40,000 t=2130,000 t=3120,000 104,200
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