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Timco is considering two mutually exclusive projects. Project X costs 100 and provides after tax inflows of 88 per year for 2 years. Project Y costs 100 and provides after tax inflows of 70 per year for three years.

The cost of funds is 8%. Which project should Timco choose? Show the numbers to prove it.

Financial Management, Finance

  • Category:- Financial Management
  • Reference No.:- M92866873

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