How would your answers change if the discount rate changed


Given the following projects each of which requires investing $8,000 today and given a 9% discount rate, A= yr 1 $500, 2 $500, 3 $7,000, 4 $2,000 B= yr 1 $600, 2 $2000, 3 $6000, 4 $1000 C= yr 1 $2000, 2 $5000, 3 $7000, 4 $5000 D= yr 1 $2000, 2 $5000, 3 $6000, 4 $6000 1. which of the following projects would be chosen, if the projects are mutually exclusive? 2. if you had only $16000 to invest, and the projects are not mutually exclusive, which two projects would you choose? 3. How would your answers change if the discount rate changed from 9% to 10%?

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Finance Basics: How would your answers change if the discount rate changed
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