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The investment opportunities are Project A and Project B, which are mutually exclusive and have the following estimated cash flows: Year Project A Project B

The investment opportunities are Project A and Project B, which are mutually exclusive and have the following estimated cash flows:

Year Project A Project B

0 -RM125,000 -RM125,000

1 RM52,500 RM32,500

2 RM52,500 RM32,500

3 RM25,000 RM65,000

4 RM25,000 RM65,000

5 RM20,000 RM20,000

Compute the net present value for each project given a 14% cost of capital for the firm.

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