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Nast Inc. is considering Projects S and L, whose cash flows are shown below. These projects ar mutually exclusive, equally risky, and not repeatable. If

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Nast Inc. is considering Projects S and L, whose cash flows are shown below. These projects ar mutually exclusive, equally risky, and not repeatable. If the decision is made by choosing the project with the higher MIRR rather than the one with the higher NPV, how much value will be forgone? Note that under some conditions choosing projects on the basis of the MIRR will caus $0.00 value to be lost. WACC 10.75% 0 1 2 3 4 CFS $375 $375 $375 $1,100 $2,200 $375 $725 CFL $725 $725 $725 a. $9.40 b. $7.66 c. $0.00 O d. 56.49 e. 56.66 Oleon ko MacBook Air F3 DOO 74 F6 F7 F8 $ 4 % & * 5

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