Question: Corp is evaluating a potential project with projected cash flows of $5 million per year for each of the next three years. For the fourth

Corp is evaluating a potential project with projected cash flows of $5 million per year for each of the next three years. For the fourth year and thereafter, The cash flows are expected to grow at a constant increase of 4% per year. Corp's discount rate for this project is 11%. What should be the terminal value of the project at the end of the third year?

(Round to the nearest tenth of one million).

A. $74.3 million

B. 47.3 million

C. 130.0 million

D. 5.2 million

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