Investment alternatives of the firm


Task: A firm has the following investment alternatives:

Cash Inflows
Year A B C
1 $500 $0 $0
2 $500 $400 $0
3 $500 $800 $0
4 $600 $900 $1900

Which investment should be considered? Use a 9.5% discount rate.

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Finance Basics: Investment alternatives of the firm
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