Question: The table below contains information on six potential projects that you could invest in. There are no cash flows after year 4. Assuming that you

The table below contains information on six
The table below contains information on six potential projects that you could invest in. There are no cash flows after year 4. Assuming that you can only pick one, which one should you choose? Select the best answer. FCF Forecasts by Year (in $1,000) Interest Rate Payback Project 0 1 2 3 IRR 4 (EAR) Period Project A (350) 80 120 150 300 10% 23.8% 3 Years Project B (420) 500 90 10 0 10% 36.1% 1 Year Project C (480) (20) 270 300 350 10% 22.7% 3 Years Project D (500) 150 165 180 510 12% 27.4% 5 Years Project E (375) (25) 150 175 200 12% 9.5% 5 Years Project F (300) 300 200 0 0 12% 45.7% 1 Year O Project A O Project B O Project C Project D O Project E O Project F

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