Project Cash Flows B Period A D -$4,300 -$3,500 -$5,500 -$3,800 1 $O $1,500 $3,000 $1,800 2 $0 $1,800 $2,000 $1,800 3 $5,500 $2,100 $1,000 $1,800

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
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Consider the following sets of investment projects:

 

Compute the equivalent annual worth of each project at i = 13%, and determine the acceptability of each project.

Project Cash Flows
B
Period
A
D
-$4,300
-$3,500
-$5,500
-$3,800
1
$O
$1,500
$3,000
$1,800
2
$0
$1,800
$2,000
$1,800
3
$5,500
$2,100
$1,000
$1,800
Transcribed Image Text:Project Cash Flows B Period A D -$4,300 -$3,500 -$5,500 -$3,800 1 $O $1,500 $3,000 $1,800 2 $0 $1,800 $2,000 $1,800 3 $5,500 $2,100 $1,000 $1,800
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