Question: You are evaluating two mutually exclusive projects, A and B. Project A costs $700 and has cash flows of $400 in each of the next

  1. You are evaluating two mutually exclusive projects, A and B. Project A costs $700 and has cash flows of $400 in each of the next 2 years. Project B also costs $700, and generates cash flows of $500 and $275 for the next 2 years, respectively. What is the crossover rate?

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