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Inatech is contemplating two different projects and decides to perform a financial analysis to
determine which is more financially lucrative. Project A and B have the cash flows as shown and
Inatech uses a required rate of return of 10% and an inflation rate of 4% . Compute the payback
in years and the net present value for both projects and offer advice as to the best course of
action.

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Inatech is contemplating two different projects and decides to perform.pdf

  • 1. Inatech is contemplating two different projects and decides to perform a financial analysis to determine which is more financially lucrative. Project A and B have the cash flows as shown and Inatech uses a required rate of return of 10% and an inflation rate of 4% . Compute the payback in years and the net present value for both projects and offer advice as to the best course of action.