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Business, 16.04.2020 16:44 pepethefrog3

Following is information on two alternative investments being considered by Jolee Company. The company requires a 10% return from its investments. (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided.)

Project A Project B
Initial investment $ (160,000 ) $ (105,000 )
Expected net cash flows in:
Year 1 40,000 32,000
Year 2 56,000 50,000
Year 3 80,295 66,000
Year 4 90,400 72,000
Year 5 65,000 24,000

For each alternative project compute the net present value.

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