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29. Consider a project with the following cash flows: Year t= 0 t=1 t=2 t=3 t=4 ??? $7,500 $12,500 $15,000 $17,500 The Payback Period of

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29. Consider a project with the following cash flows: Year t= 0 t=1 t=2 t=3 t=4 ??? $7,500 $12,500 $15,000 $17,500 The Payback Period of this project is 2.6 years. The appropriate discount rate is 13%. Find the Net Present Value of the project. (Note that the cash flow for t=0 is not provided to you that is, you must first solve for it). 30. If the cost of capital for the project shown below is 2.5 percentage points less than the project's IRR (for example, if the project's IRR is 12%, the cost of capital is 9.5%), what is the NPV of the project? Year 0 1 2 3 4 Cash Flow ($210,000) $40,000 $50,000 $60,000 $60,000 $70,000 $70,000 6

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