Question: 83.23 is wrong RiverRocks, whose WACC is 12.1%, is considering an acquisition of Raft Adventures (whose WACC is 15.6%). The purchase will cost $100.1 million

83.23 is wrong RiverRocks, whose WACC is 12.1%, is considering an

83.23 is wrong

RiverRocks, whose WACC is 12.1%, is considering an acquisition of Raft Adventures (whose WACC is 15.6%). The purchase will cost $100.1 million and will generate cash flows that start at $14.3 million in one year and then grow at 4.3% per year forever. What is the NPV of the acquisition? The net present value of the project is $ 83.23 million. (Round to two decimal places.)

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