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solve this at a4 sheet You are deciding to choose between two mutually exclusive projects. a. option1: project X will cost $6,000 to install and
solve this at a4 sheet
You are deciding to choose between two mutually exclusive projects. a. option1: project X will cost $6,000 to install and $3000 a to run year and will last for three years. b. option 2: project Y will cost $7,000 to install and $2600 a to run year and will last for four years. Let the WACC = 0.06 Estimate the NPV of project X. Estimate the Equivalent annuity cost of project X. Estimate the NPV of project Y Estimate the Equivalent annuity cost of project Y Which option would you choose option 1 or 2Step by Step Solution
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