Evaluating two projects for year capital budget

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Capital budgeting criteria A firm with a 14 percent WACC is evaluating two projects for this year's capital budget. After-tax cash flows, including depreciation, are as follows:

0 1 2 3 4 5

Project A -$6,000 $2,000 $2,000 $2,000 $2,000 $2,000

Project A -$18,000 $5,600 $5,600 $5,600 $5,600 $5,600

Reference no: EM132525393

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