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tunisia81 tunisia81
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A year ago
The table shows potential investment projects, the total investment, and the expected rate of return for each project.
ProjectTotal InvestmentExpected Rate of Return
A — New computer network$400,00025%
B — New branch plant$2,600,00020%
C — Sales office in another state$1,500,00015
D — New automated billing system$100,00012
E — Ten new delivery trucks$400,00010
F — Advertising campaign$1,000,0007
G — Employee cafeteria$100,0005
If the borrowing rate is 17%, how many projects would the firm fund? What is the firm's total investment?

▸ 2 projects, $3,000,000

▸ 3 projects, $4,000,000

▸ 1 projects, $2,600,000

▸ 4 projects, $1,000,000
Textbook 
Macroeconomics

Macroeconomics


Edition: 3rd
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dmp7474dmp7474
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A year ago
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