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A firm has 13 million shares outstanding with a current market price of $27 per share. There is one investment project available to the firm.
A firm has 13 million shares outstanding with a current market price of $27 per share. There is one investment project available to the firm. The initial investment of the project is $27 million, and the NPV of the project is $13 million. What will be the firm's stock price if capital markets fully reflect the value of undertaking the project? $26 $28 $27 $29
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Offshore Finance And State Power
Authors: Andrea Binder
1st Edition
0192870122, 978-0192870124
