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A company is in the process of constructing a new plant at a cost of $20 million. It expects the project to generate cash flows
A company is in the process of constructing a new plant at a cost of $20 million. It expects the project to generate cash flows of $10 million, $6 million, and $10 million over the next three years. The cost of capital is 18.6 percent p.a. What is the net present value of this project? (in millions to three decimals) a. \$-1.308 b. $38.692 c. $4.240 d. $0.515
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