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Machines A, B, C, and Dare mutually exclusive projects with unequal lives. Investment in one of the machines will continue over time and the machines

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Machines A, B, C, and Dare mutually exclusive projects with unequal lives. Investment in one of the machines will continue over time and the machines are expected to produce the real cash flows shown in the table below. The real cost of capital is 12%. Which machine should the company invest in? Machine Co C1 C2 C3 C4 Cs A -117 127 128 B -95 99 104 72 65 45 -100 103 117 80 75 D -73 104 93 89

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