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Suppose Fuzzy Button Clothing Company is evaluating a proposed capital budgeting project (project Beta) that will require an initial investment of $2,500,000. The project is

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Suppose Fuzzy Button Clothing Company is evaluating a proposed capital budgeting project (project Beta) that will require an initial investment of $2,500,000. The project is expected to generate the following net cash flows: Year Cash Flow Year 1 $350,000 Year 2 $400,000 Year 3 $475,000 Year 4 $450,000 Fuzzy Button Clothing Company's weighted average cost of capital is 9%, and project Beta has the same risk as the firm's average project. Based on the cash flows, what is project Beta's NPV? O -$3,656,649 $1,343,351 O - $681,649 O -$1,156,649

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