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NO EXCEL OR FINANCIAL CALCULATOR- all formulas by hand without special calculator features. A firm is considering the following mutually exclusive projects. Project A requires

NO EXCEL OR FINANCIAL CALCULATOR- all formulas by hand without special calculator features.

A firm is considering the following mutually exclusive projects. Project A requires an initial outlay of $500 and will return $120 per year for the next seven years project. B requires an initial outlay of $5000 and will return $1350 per year for the next five years. They required rate of return is 10%.

Use the net present value criterion to determine which investment is preferable.

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A firm is considering the following mutually exclusive projects. Project A requires an initial outlay of $500 and will return $120 per year for the next seven (7) years. Project B requires an initial outlay of $5,000 and will return $1,350 per year for the next five (5) years. The required rate of return is 10% (2.1) Use the net present value criterion to determine which investment is preferable

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