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Sweet company is evaluating capital budgeting projects with the following information: Time Project A Project B 0 $-323,500 -323,500 1 78,900 90,000 2 78,800 90,000

Sweet company is evaluating capital budgeting projects with the following information:

Time

Project A

Project B

0

$-323,500

-323,500

1

78,900

90,000

2

78,800

90,000

3

78,700

47,500

4

78,600

55,100

5

78,500

65,000

6

78,400

95,000

Sweet companys required rate of return is 11%, should the project be purchased?

Use the NPV, IRR, PBP, DPB, and profitability index to evaluate the projects.

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