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Net Present Value and Competing Projects

For discount factors use Exhibit $12$B$\mathrm{.}1$ and Exhibit $12$B$\mathrm{.}2.$

Spiro Hospital is investigating the possibility of investing in new dialysis equipment. Two local manufacturers of this equipment are being considered as sources of the equipment. After$-$tax cash inflows for the two competing projects are as follows:

$\backslash$table$[[$Year$,$Puro Equipment,Briggs Equipment$],[1,$$$320,000,$$$120,000$