Question: MUT a private college that needs to install a new electronic student registration system. They are considering two mutually exclusive projects with equal useful lives.
MUT a private college that needs to install a new electronic student registration system. They are considering two
mutually exclusive projects with equal useful lives. System SEN will meet all the college's requirements, and system
CAM, which costs more to implement, will have greater earnings potential because of its features. The table below
gives the financial figures for each investment project.
The cost of capital is
With reference to the information provided, determine the NPV for system CAM.
A
B
C
D R
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