You are considering the following two mutually exclusive projects. Using the replacement chain approach and a cost of capital of 10%, calculate the NPV of Project A. (Round to nearest $)   Project A Project B Year Cash Flow Cash Flow 0 (20,000) (20,000) 1 15,000  5,000  2 20,000  10,000  3   15,000  4   50,000

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Production Budget

A budget can be defined as a financial plan designed by an undertaking for a definite period in the future that can contribute towards enhancing the financial success of the business undertaking. It is used to estimate the revenue and expenses. The budget generally takes into account both current and future income and expenses.