A project that provides annual cash flows of $17,300 for nine years costs $79,000 today. Is this

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A project that provides annual cash flows of $17,300 for nine years costs $79,000 today. Is this a good project if required return is 8 percent?

What if it’s 20 percent? At what discount rate would you be indifferent accepting the project and rejecting it?

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Fundamentals of corporate finance

ISBN: 978-0078034633

10th edition

Authors: Stephen Ross, Randolph Westerfield, Bradford Jordan

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Posted Date: Jul 06, 2018 09:28 AM

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A project that provides annual cash flows of $17,300 for nine years costs $79,000 today. Is this

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Net Present Value Cash inflow Cash Outflow At 8 Cash Outflow 79000 Cash Inflow 17 300 ... View the full answer

Fundamentals of corporate finance

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