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Your company is considering three mutually exclusive projects.

                                             Project A                     Project B                     Project C

                                   Year    Cash Flow                   Cash Flow                   Cash Flow

                                      0       -$38,500                     -$42,000                     -$37,000

                                      1         $20,000                       $10,000                     $15,000

                                      2         $24,000                       $40,000                     $29,500

                                      3         $26,000                       $10,000                     $25,000

The company doesn’t have any constraints in raising money, and the WACC is 10%

Financial Management, Finance

  • Category:- Financial Management
  • Reference No.:- M92694037

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