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Suppose that as a financial analyst, you are in charge of selecting the best investment capital budgeting project for the company you work for. A
Suppose that as a financial analyst, you are in charge of selecting the best investment capital budgeting project for the company you work for. A set of capital budgeting investment opportunities below shows the net investment and the net cash flows of the different but same scale capital budgeting projects: Year Project #AA Project #BB 0 -$1,000 -$10,000 1 $1,500 $13,000 Since you can only select one of the project investments presented in the data table above, which one looks better depending on NPV and PI decision models (use 10.00% as the minimum required rate of return)? O Projects AA and BB have the same investment return so both of them O Project BB O Project AA O Neither of the projects
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