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Q2) A firm has a WACC of 8.11% and is deciding between two mutually exclusive projects. Project A has an initial investment of $63.39. The

Q2) A firm has a WACC of 8.11% and is deciding between two mutually exclusive projects. Project A has an initial investment of $63.39. The additional cash flows for project A are: year 1 = $15.02, year 2 = $36.85, year 3 = $51.95. Project B has an initial investment of $73.01. The cash flows for project B are: year 1 = $52.97, year 2 = $41.99, year 3 = $36.32. Calculate the Following: a) Payback Period for Project A: b) Payback Period for Project B: c) NPV for Project A: d) NPV for Project B:

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