Buy Coastal, Inc., imposes a payback cutoff of three years for its international investment projects. If the
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Buy Coastal, Inc., imposes a payback cutoff of three years for its international investment projects. If the company has the following two projects available, should it accept either of them?
Year ____Cash Flow (A) __________Cash Flow (B)
0 .............. -$40,000 ..................... -$ 60,000
1 ................. 19,000 ........................ 14,000
2 ................. 25,000 ........................ 17,000
3 ................. 18,000 ........................ 24,000
4 .................. 6,000 ....................... 270,000
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Related Book For
Fundamentals of corporate finance
ISBN: 978-0073382395
9th edition
Authors: Stephen Ross, Randolph Westerfield, Bradford Jordan
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