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Tesco Company is planning to undertake three different projects requiring initial investment of 250,000 for project A, 240,000 for project B and 270,000 for project

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Tesco Company is planning to undertake three different projects requiring initial investment of 250,000 for project A, 240,000 for project B and 270,000 for project C. the three different projects will result in cash inflows in accordance with the following table: B Initial Investment 250,000 240,000 270,000 Year 1 70,000 50,000 100,000 Year 2 80,000 50,000 90,000 Year 3 50,000 50,000 75000 Year 4 70,000 50,000 110,000 Year 5 130,000 50,000 125,000 Requirement Calculate the payback period for each alternative project Calculate the net present value (NPV) of each alternative if the cost of capital is 15%. Which project do you recommend

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