Question: The cash flows below are for two mutually exclusive projects of Alpha Gamma Inc. Project As CFs are expressed in real terms, while project Bs

The cash flows below are for two mutually exclusive projects of Alpha Gamma Inc. Project As CFs are expressed in real terms, while project Bs CFs are expressed in nominal terms. If the nominal discount rate is 12%, and the inflation rate is 2.5%, which project should be accepted? Year Project A Project B 0-$50,000-$60,000 122,00026,000 220,00025,000 318,00024,000

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