Question
A project has expected risky cash flows of $45,000 in perpetuity. Given that the risk adjusted rate of return for the project is 15%, and
A project has expected risky cash flows of $45,000 in perpetuity. Given that the risk adjusted rate of return for the project is 15%, and the risk free rate is 5%, what are the certainty equivalent cash flows in perpetuity?
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Investments Analysis and Management
Authors: Charles P. Jones
12th edition
978-1118475904, 1118475909, 1118363299, 978-1118363294
