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A project costs GHS50, 000 today and offers GHS 85,000 cash inflow next year. Its beta is 2.5 and the risk premium on the market

A project costs GHS50, 000 today and offers GHS 85,000 cash inflow next year. Its beta is 2.5 and the risk premium on the market is 5%. If the risk free rate is 19.5%, use the CAPM to find (a) the opportunity cost and (b) the net present value of the project. (7 Marks)

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