Question: Please answer with formula and work 7. Suppose your firm is considering two mutually exclusive, required projects with the cash flows shown as follows. The

Please answer with formula and work 7. Suppose your firm is

Please answer with formula and work

7. Suppose your firm is considering two mutually exclusive, required projects with the cash flows shown as follows. The required rate of return on projects of both of their risk class is 10 percent Time 3 Project A Cash Flow -1,000 300 700 Project B Cash Flow -500 400 300 Use the NPV decision rule to evaluate these projects, which one(s) should be accepted or rejected? 400 200

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