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17) what is the NPV of the project? A firm has projected the following financials for a possible project: The firm has a capital structure
17) what is the NPV of the project?
A firm has projected the following financials for a possible project: The firm has a capital structure of 41.00% debt and 59.00% equity. The cost of debt is 9.00%, while the cost of equity is estimated at 15.00%. The tax rate facing the firm is 38.00%. (Assume that you can't recover the final NWC position in year 5. i.e. only consider the change in NWC for each year) What is the NPV of the project? (Hint: Be careful about rounding the WACC here) Answer format: Currency: Round to: 2 decimal places Step by Step Solution
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