Question: You are evaluating two mutually exclusive projects, A and B. project A costs $600 and has cash flows of $400 in each of the next
You are evaluating two mutually exclusive projects, A and B. project A costs $600 and has cash flows of $400 in each of the next 2 years. Project B also costs $600, and generates cash flows of $500 and $275 for the next 2 years, respectively. What is the crossover rate? a) 10% b) 15% c) 25% d) 40% e) 80%
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