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Mauser Company is trying to reduce its cost structure in an effort to boost profits. It is looking at automating parts of its production process.

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Mauser Company is trying to reduce its cost structure in an effort to boost profits. It is looking at automating parts of its production process. It is evaluating two different pieces of equipment to accomplish the cost reductions. Explain what NPV means to your CEO. Should you invest in this project? Why? What are the two major drawbacks to using IRR? Explain why Payback sucks as a value metric

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