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You are considering the following two mutually exclusive investment opportunities. If your cost of capital is 13%, which is better. Explain your reasoning and support
You are considering the following two mutually exclusive investment opportunities. If your cost of capital is 13%, which is better. Explain your reasoning and support numerically. Capital is not rationed. (5 points)
Opportunity A would cost $1000 and return $400 per year for 4 years.
Opportunity B would cost $2200 and would return $1000 per year for 3 years.
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