Question: Your firm is considering a project that will cost $ 4 . 5 0 9 million up front, generate cash flows of $ 3 .
Your firm is considering a project that will cost $ million up front, generate cash flows of $ million per year for years and then have a cleanup and shutdown cost of $ million in the fourth year.
a How many IRRs does this project have?
b Create an NPV profile for this projectplot the NPV as a function of the discount ratelong dashsee the appendixNOTE: students will solve this question part using Excel only. A student response is not included in MyFinanceLab
c Given a cost of capital of should this project be accepted
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