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Perform a capital budgeting analysis for LMN Corporation using the following data: Project Initial Investment ($) Annual Cash Inflows ($) Salvage Value ($) Useful Life


  • Perform a capital budgeting analysis for LMN Corporation using the following data:

    ProjectInitial Investment ($)Annual Cash Inflows ($)Salvage Value ($)Useful Life (Years)
    Project A$100,000$30,000$20,0005
    Project B$150,000$40,000$25,0008

    Discount rate: 10%

    Requirements:

    • Calculate the net present value for each project.
    • Present the analysis in a detailed table format.
    • Discuss the investment decisions based on capital budgeting analysis.

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