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problem: Assume that the riskiness of the projects is identical. Make an NPV profile & estimate the cross over rate. What does this tell us about the features of the two projects?

Project

Cost ($)

Cash Flow 1 ($)

Cash Flow 2 ($)

Cash Flow 3 ($)

 

 

 

 

 

Alpha

$10,000

$2,000

$5,000

$7,000

Gamma

$10,000

$6,000

$7,000

$3,000

 

 

 

Basic Finance, Finance

  • Category:- Basic Finance
  • Reference No.:- M918283

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