7. Maximizing shareholder value (S1.2) Ms. Espinoza is retired and depends on her investments for her income.

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7. Maximizing shareholder value (S1.2) Ms. Espinoza is retired and depends on her investments for her income. Mr. Liu is a young executive who wants to save for the future. Both are shareholders in Scaled Composites LLC, which is building SpaceShipOne to take commercial passengers into space. This investment’s payoff is many years away. Assume it has a positive NPV for Mr. Liu. Explain why this investment also makes sense for Ms.

Espinoza.

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Principles Of Corporate Finance

ISBN: 9781264080946

14th Edition

Authors: Richard Brealey, Stewart Myers, Franklin Allen, Alex Edmans

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