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PROMISE I WILL RATE!

7) The prevailing cost of capital is 8%. Now consider two mutually exclusive projects-which one should you take? Project A (CF0=-$180, CF_1=$140, CF_2=$170) and Project B(CF_0=-$80, CF_1=$50, CF_2=$75) 8) The prevailing cost of capital is 8%. Now consider two projects-which one should you take? Project A (CF0=-$180, CF_1=$150, CF_2=$90) and Project B(CF_0=-$85, CF_1=$100, CF_2=$45)