King Pharmaceuticals is considering a drug project that costs $1.8 million today and is expected to generate
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King Pharmaceuticals is considering a drug project that costs $1.8 million today and is expected to generate end-of-year annual cash flows of $235,000 forever. At what discount rate would the company be indifferent between accepting or rejecting the project?
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The time line is The company would be indifferent at the interest rate that m...View the full answer
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Somshukla Chakraborty
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