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4. The controller is worried about tax increases and estimates that the tax rate with be raised to Maryland state) in year 4. Also there

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4. The controller is worried about tax increases and estimates that the tax rate with be raised to Maryland state) in year 4. Also there is a concern that expenses are understated. He asks, "Whi the NPV calculation if the cash tax expenses come in 2% higher than estimated and the tax rate year 4?" This will allow a subjective evaluation of the project risk. Calculate a new cash flow til expenses 10% higher than those in Table 2 and with a 50% tax rate. Use Table 3

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