Question: Kim Lee is analyzing two projects. The first requires a $1,200 initial investment and returns $600 a year for four years. The second project requires

Kim Lee is analyzing two projects. The first requires a $1,200 initial investment and returns $600 a year for four years. The second project requires a $1,500 initial investment and returns $700 a year for four years. What is the crossover point for these two projects?
a. 4.25%
b. 6.37%
c. 8.14%
d. 12.59%
e. The crossover point cannot be computed based on the information provided.

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