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You are choosing between the following Project A and Project B.  If the interest rate is 8%, and the cash flow streams are as provided below, which would you select?  You can only select one.  Explain your selection.

Year

Project A Cash Flow Stream A

Project B Cash Flow Stream B

0

-$50,000

-$50,000

1

15,625

0

2

15,625

0

3

15,625

0

4

15,625

0

5

15,625

99,500

Business Economics, Economics

  • Category:- Business Economics
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