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, ,Imagine that you are the financial manager for a firm, and your company has a WACC of 4.5%. Two district managers would like funds to pursue a project, and are asking for your approval based on their projected financials.,,Project A costs $180,000 today, and will give the company $25,000 net cash flow per year for the next 15 years.,,Project B costs $275,000 today, and will give the company $30,000 net cash flow per year for the next 20 years.,,If these proposed projects have risk levels similar to the company as a whole, which project is more desirable? Why? If you have enough funds to do both projects, would you? Show your calculations (including projected cash flows and NPVs) and explain your reasoning.,,Use a financial model for this question, and explain/interpret your answer.

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