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Carlyle Inc.is considering two mutually exclusive projects.Both require an initial investment of $14,200 at t = 0.Project S has an expected life of 2 years with after-tax cash inflows of $7,400 and $13,600 at the end of Years 1 and 2,respectively.In addition,Project S can be repeated at the end of Year 2 with no changes in its cash flows.Project L has an expected life of 4 years with after-tax cash inflows of $6,000 at the end of each of the next 4 years.Each project has a WACC of 9%.What is the equivalent annual annuity of the most profitable project? Do not round your intermediate calculations.
Casual Language
Informal language that is often used in conversation but might be inappropriate for formal writing or presentations.
Informal Language
Informal language is a style of communication that is casual, using everyday expressions and not adhering strictly to grammar rules.
Casual
A style or approach that is relaxed, informal, and not bound by strict codes or standards.
Complimentary Close
A polite phrase or word used at the end of a letter or email before the sender’s signature, expressing good wishes or thanks.
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