A. 17% B. 30% C. 25% D. 22%

Year O Year 1 Question Viewer - Cost of Goods Sold - Depreciation = EBIT - Taxes (20%) = Unlevered net income + Depreciation - Additions to Net Working Capital - Capital Expenditures = Free Cash Flow 424897.541 - 165000 - 85000 174897.541 - 34979.508 139918.033 85000 - 20000 - 400000 204918.033 Year 2 424897.541 - 165000 - 85000 174897.541 -34979.508 139918.033 85000 - 20000 204918.033 Year 3 424897.541 - 165000 - 85000 174897.541 -34979.508 139918.033 85000 - 20000 204918.033 Visby Rides, a livery car company, is considering buying some new luxury cars. After extensive research, they come up with the above estimates of free cash flow from this project. By how much could the discount rate rise before the net present value (NPV) of this project is zero, given that it is currently 8%? O A. O B. 17% 25% 22%