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A firm is trying to decide between two types of trucks, one a conventional gasoline vehicle and the other a diesel powered. [ [ ,
A firm is trying to decide between two types of trucks, one a conventional gasoline vehicle and the other a diesel powered. Gasoline,DieselInitial investment,Suppose a firm is trying to raise $ from shareholders and debt holders. The firm sells
shares at $ each, and borrows the remaining $ at interest. The firm
invests this money in a project, which has a of succeeding and a chance of failing. If
the project succeeds, the firm earns $ If the project fails, the firm sells its equipment for
$ Fill in the chart below:
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