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A silver mine is expected to have cash flow of $7.5 million this year (today). Output is expected to continue (effectively) forever, but will dwindle
A silver mine is expected to have cash flow of $7.5 million this year (today). Output is expected to continue (effectively) forever, but will dwindle at a rate of 8% per year. If the discount rate is 19%, what is the value of the silver mine today?
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