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9. (30 points) A project requires investments of 60 MM$ at time zero and 70 MM$ in year one. Revenues are 90 MM$ and operating

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9. (30 points) A project requires investments of 60 MM$ at time zero and 70 MM$ in year one. Revenues are 90 MM$ and operating expenses are 30 MM$ per year from year 2 to 5. Salvage value is zero. Escalation rate per year is 2% for CAPEX, 10% for OPEX, 12% for revenues, and inflation rate is 6%. Please calculate escalated-dollar NPV and constant-dollar NPV at minimum escalated- dollar rate of return of 10%. Would you recommend the project for investment based on your calculation and analysis of constant-dollar NPV

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