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The following project involve upfront investments that generate perpetual cash flows at the end of each year. Assume unlimited capital and no mutual exclusion. Fill
The following project involve upfront investments that generate perpetual cash flows at the end of each year. Assume unlimited capital and no mutual exclusion. Fill the blanks:
Project | Investment | Perpetual Cash Flows | Discount Rate | NPV | IRR | Accept/Reject? |
A | $5 million | $1 million per year | 25% | |||
B | $4 million | $1 million per year | 20% | |||
C | $10 million | $1 million per year | 9% |
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