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5 . Berdwen, Inc. is analyzing the merits of a potential project. There is great volatility in the marketplace which will impact the project with
Berdwen, Inc. is analyzing the merits of a potential project. There is great volatility in the marketplace which will impact the project with risky free cash flows. Berdwen, Inc. has a weighted average cost of capital of and forecasts the free cash flows below:
Year Expected FCF
$
$
$
Use two appropriate capital budgeting techniques to determine if this project should be accepted.
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