Question: Swed Consider a project lasting one year only. The initial outlay is $1,000 and the expected inflow is 51,210. The opportunity cost of capital is
Swed Consider a project lasting one year only. The initial outlay is $1,000 and the expected inflow is 51,210. The opportunity cost of capital is r=0.21. The borrowing rate is ro - 0.12, and the tax shield per dollar of interest is Te -0.21. (Do not round intermediate calculations. Round your answers to 2 decimal places. Leave no cells blank - be certain to enter "o" wherever required.) a. What is the project's buse-case NPV? Base-case NPV b. What is its APV If the firm borrows 40% of the project's required investment? Adjusted presenta
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