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What action does management take on projects

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H project requires an initial investment of $100,000 and produces annual cash flows of $45,000 per year for each of next 3 years. T project also requires initial investment of $100,000 and produces cash flows of $30,000 in year 1, $40,000 in year 2, $70,000 in year 3.

What action does management take on these projects if discount rate is 10% and projects are Mutually exclusive?

Reference no: EM133058024

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