Under what circumstance is the use of the equivalent annual cost (EAC) method to compare substitutable projects

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Under what circumstance is the use of the equivalent annual cost (EAC) method to compare substitutable projects with different lives clearly more efficient computationally than using multiple investments over a common period where both projects terminate in the same year?
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Introduction to Corporate Finance

ISBN: 978-0324657937

2nd edition

Authors: Scott B. Smart, William L Megginson

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