A firm has a beta of .45.The current market return is 13% while the current return on

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A firm has a beta of .45.The current market return is 13% while the current return on Treasury securities is 5.2%.The firm is considering a project that will cost $2 million and have expected cashflows of $300,000 per year for 11 years.The firm's cost of capital is 12%.

A.Calculate the risk-adjusted discount rate

B.Calculate the risk-adjusted NPV

Posted Date: May 18, 2024 07:03 AM

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A firm has a beta of .45.The current market return is 13% while the current return on

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