question archive There is a firm with two investment projects Project A and B with an initial expenditure of 20,000 USD

There is a firm with two investment projects Project A and B with an initial expenditure of 20,000 USD

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There is a firm with two investment projects Project A and B with an initial expenditure of 20,000 USD. Assuming that the projects have two years. Table bellow represents the net revenues. And the discount rate is 10%. Under these circumstances what would be the firm's decision? A B First year Second year 11,500 13,500 9,000 16,000

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