Question: 10. (10 pts) Two mutually exclusive projects, Alpha and Beta have free cash flows listed below with unequal lives. The firm has a cost of

 10. (10 pts) Two mutually exclusive projects, Alpha and Beta have

10. (10 pts) Two mutually exclusive projects, Alpha and Beta have free cash flows listed below with unequal lives. The firm has a cost of capital of 15%. Use the replacement chain method to determine which of the two projects should be selected: Alpha Beta Year 0 ($18,543) ($45,664) Year 1 $5,000 $20,000 Year 2 $5,000 $20,000 Year 3 $5,000 $20,000 Year 4 $5,000 Year 5 $5,000 Year 6 $5,000

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