Question: The Larson Company must choose between two mutually exclusive projects. The cost of capital is 12 percent. Given the following data, which project should Larson

The Larson Company must choose between two mutually exclusive projects. The cost of capital is 12 percent. Given the following data, which project should Larson choose, andwhy?

After-Tax Cash Flows, End of Year Project Label $400,000 60,000 Pl $(500,000) $175,000 450,000 477,000 $287,500 195,000

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