Question: Air Canada is considering purchasing 20 new planes that will save the company $25 million per year in fuel and maintenance costs for the next
Air Canada is considering purchasing 20 new planes that will save the company $25 million per year in fuel and maintenance costs for the next 10 years. If the cost of the new planes is $200 million dollars and Air Canada's WACC is 8.5%, what is the NPV of the project? Question 7 options: A) -$200,000 B) $50 million C) $30.4 million D) $0 E) $4.4 million
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