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Jamison is considering two mutually exclusive projects with the following cash flows and the cost of...

Jamison is considering two mutually exclusive projects with the following cash flows and the cost of capital of 10%.

Year XX YY

0 -$1,000 -$1,200
1 $800 $700
2 $800 $700
3 $700

a) Based on Annualized NPV, which project would you choose? Why ANPV is better than NPV in this case.?

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