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Suppose your firm is considering two mutually exclusive, required projects with the cash flows shown below. The required rate of return on projects of both

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Suppose your firm is considering two mutually exclusive, required projects with the cash flows shown below. The required rate of return on projects of both of their nisk class is 10 percent, and that the maximum allowable payback and discounted payback statistic for the projects are 2 and 3 years, respectively. Use the NPV decision rule to evaluate these projects; which one(s) should be accepted or rejected? Munipie Choke Accept nether A nor B Acceot A reject E Accept neither A nor B Accept A, reject B Accept both A and B Reject A, accept B

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