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Let the two number’s be 5x and 3x. According to the question, => (5x+4)/(3x+7) = 2/3 => 15x + 12 = 6x + 14 => 15x – 6x = 14 – 12 => 9x = 2 => x = 2/9 So, the bigger number will be, => 5x = 5 × (2/9) = 10/9
In capital budgeting, the discount rate used in the net present value method is also known as:
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