Question: Your company is considering a new project to develop a new product. Assume that their initial investment is 200,000 and the first-year net cash

Your company is considering a new project to develop a new product.

Your company is considering a new project to develop a new product. Assume that their initial investment is 200,000 and the first-year net cash flow is 100,000. This project will last five years and at the end of the fifth year; additionally, it will have a terminal value of 350,000. The cash flows will grow at a constant rate of your prediction; please specify. The relevant corporate tax rate is 20%.

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