Should accept the project and why

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Reference no: EM132951610

You would like to invest in the following project.

Year

0 -$58,500

1 $32,400

2 $38,500

Cash Flow

Problem 1: Victoria, your boss, insists that only projects that can return at least $1.25 in today's dollars for every $1 invested can be accepted. She also insists on applying a 10% discount rate to all cash flows. Based on these criteria, should you accept the project and why?

Reference no: EM132951610

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