Question: Alpha industries is considering a project with an initial cost of $8 milfion. The project will produce cash inflows of $1,49 million per year for

Alpha industries is considering a project with an initial cost of

Alpha industries is considering a project with an initial cost of $8 milfion. The project will produce cash inflows of $1,49 million per year for 8 years. The project has the same risk as the firm. The firm has a pretax cost of debt of 5.61 percent and a cost of equity of 11.27 percent. The debt-equity ratio is 60 and the fas rate is 35 percent. What is the net present value of the project? Mulnple Choice $368,983 520t863 $430.481 5387,433 5447700

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