Question: Dromore Enterprises has a capital structure which is based on 3 0 % debt, 5 % preferred stock, and 6 5 % common stock. The

Dromore Enterprises has a capital structure which is based on 30% debt, 5% preferred stock, and 65% common stock. The after tax cost of debt is 6%, the cost of preferred is 75%, and the cost of common stock is 11%. The company is considering a project that is equally as risky as the overall firm. This project has initial costs of $150,000 and cash inflows of $76,000 a year for three years. What is the projected net present value of this project?Multiple Choice$41,269.53$41,398.16$41.403.03$41,006.18$41,783.43

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