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A new project is expected to generate a cash flow of $55,110 (after costs) in one year from today and assume this is the only
A new project is expected to generate a cash flow of $55,110 (after costs) in one year from today and assume this is the only project/investment the firm currently is undertaking. The project risk requires a return of 12.43%. At the time of the new project, the firm was financed by $93,211 equity and $26,893.5 in debt. What is the value of the levered firm? (Assume perfect capital markets and the only future earnings/cash flows will come from this new project.) Input your answer as a dollar amount and round to the nearest cent.
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