Question: Consider a project with a single risky cash flow in one year. The CF will be either $ 2 0 , 0 0 0 (

"Consider a project with a single risky cash flow in one year. The CF will be either $20,000(with probability 0.3) or $2,000(with probability 0.7). All investors are risk neutral. The interest rate is 0. What will be the value of equity if a firm with no other cash flows but $5,000 in face value of outstanding debt takes this project?"
"$3,000"
"$7,500"
"$6,000"
"$4,500"
"$1,500"

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