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Your firm is evaluating 4 projects (A-D) with the following estimated CFs. The required return for all projects is 10% Year 1 2 3 CF(A)

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Your firm is evaluating 4 projects (A-D) with the following estimated CFs. The required return for all projects is 10% Year 1 2 3 CF(A) -1000 200 400 600 800 CF(B) -1200 0 300 600 900 1000 CF(C) -2000 350 750 1150 1500 0 CF(D) -4000 500 1000 2000 3000 0 4 5 0 1. Find the NPV, IRR, Payback Period, and Profitability Index for all 4 projects? 2. If the projects are mutually exclusive and only one can be selected, which should the firm choose? 3. A the firm is free to choose any combination of projects, but has a budget limit of $4000, which combo should they choose

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