Mathematics, 27.07.2019 05:30 sailormaries7101

Suppose investment 1 requires a cash outlay of $10,000 at time 0 and a cash outlay of $14,000 two years from now and yields a cash flow of $24,000 one year from now. in vestment 2 requires a s6,000 cash outlay at time 0 and a $1,000 cash outlay two years from now and yields a cash flow of $8,000 one year from now. show that if 0.02, investment 2 has a larger npv than investment 1.

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Suppose investment 1 requires a cash outlay of $10,000 at time 0 and a cash outlay of $14,000 two ye...