Micro-Expansion Industries is expanding its operations. The costs and expected cash flows of two mutually...
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Micro-Expansion Industries is expanding its operations. The costs and expected cash flows of two mutually exclusive projects are given in the following table. The company uses a discount rate of 15.25 percent per annum for such projects. Year ON Project A $-2,050,387 724,542 760,803 866,964 1,035,769 676,061 Project B $-8,463,486 2,142,257 3,006,508 2,621,255 3,442,170 2,581,350 3 4 5
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