Which of the following projects should you turn down?   Question 10 options:   The project has a positive NPV of only $1   The project IRR is 14% and your requirement is that projects meet a 9% threshold.   The IRR is only 3%, but it has a positive NPV.   The initial investment is $10mm and it produces 4 years of cash flows of $3mm per year.  Your cost of capital is 9%.

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A: Given:

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Production Budget

A budget can be defined as a financial plan designed by an undertaking for a definite period in the future that can contribute towards enhancing the financial success of the business undertaking. It is used to estimate the revenue and expenses. The budget generally takes into account both current and future income and expenses.