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Q1) You presently have 200 to invest. Your discount rate is 20%. (that is cost of capital). You have opportunity to invest in following projects. In which project(s) must you invest?

Years/cash flows 0 1 2 3 4 5 6
Project A -150 55 60 60 65 0 0
Project B -50 10 15 25 25 25 20
Project C -200 100 90 50 50 10 0

Accounting Basics, Accounting

  • Category:- Accounting Basics
  • Reference No.:- M919487

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