Question: Question 19 (1 point) Projects A and B are mutually exclusive projects with unequal lives. The cost of capital is 12% for both projects. Project
Question 19 (1 point) Projects A and B are mutually exclusive projects with unequal lives. The cost of capital is 12% for both projects. Project A: Year Cash flow -20 Project A: Year 0 12 Cash flow -100 3580 Apply replacement chain to project A so that to equalize its life span to that of project B. After having done so, the cash flows of the modified project A for years 0, 1, and 2 are correspondingly: O 1) -20, 15, 15 2) -20, 35, -20 3) -20, 35, 35 4) -20, 15,35
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