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A project costs $69,000 today to get started and will produce after-tax cash flows of -$20,000 in year 1, -$10,000 in year 2, and $0
A project costs $69,000 today to get started and will produce after-tax cash flows of -$20,000 in year 1, -$10,000 in year 2, and $0 in year 3. In year 4 it will produce $30,000 in profits and then profits will increase by 4% per year forever. What is the NPV of the project if the discount rate is 20%?
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