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Three mutually exclusive alternatives A, B and C, are under consideration. All have a life of five years. Alternative A needs an initial investment of

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Three mutually exclusive alternatives A, B and C, are under consideration. All have a life of five years. Alternative A needs an initial investment of $12,000 and provides a net revenue of S4000 per year for five years. Alternative B requires an investment of $18,000 and has an annual net revenue of $5000. Alternative C requires an investment of $26,000 and has an annual net revenue of $6,500. All estimates are in constant dollars. Inflation is expected to average 3.7% per year for the next five years, and the market MARR is 12% per year. Which alternative should be chosen

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