Question: Problem 9-8 You are a consultant to a large manufacturing corporation that is considering a project with the following net after tax cash flows in
Problem 9-8 You are a consultant to a large manufacturing corporation that is considering a project with the following net after tax cash flows in millions of dollars) (2 02:3454 Years from Now After-Tax Cash Flow 1-10 The project's beta is 17 a. Assuming that pe = 5% and Bar = 13%, what is the net present value of the project? (Do not round intermediate calculations. Enter your answer in millions rounded to 2 decimal places.) Net present value b. What is the highest possible beta estimate for the project before its NPV becomes negative? (Round your answer to 2 decimal places.) Highest beta
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