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4 . BBB Tourism Corporation plans to invest in a new project which costs $ 9 , 0 0 0 , 0 0 0 .
BBB Tourism Corporation plans to invest in a new project which costs $ It expects to generate cash flows of $ ; $ ; and $ over the next three years. If the discount rate for the firm is percent, should BBB invest in this project? Assume that after three years, BBB Corporations cash inflows will be $ forever. The cost of capital remains Calculate the net present value of BBB Corporations cash inflow? Do you still recommend this project?
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