Question
ABC borrows $10,338 at a subsidized rate of 3.6% to invest in a project. The project lasts for 13 years and ABC repays the loan
ABC borrows $10,338 at a subsidized rate of 3.6% to invest in a project. The project lasts for 13 years and ABC repays the loan at the end of the project. If ABC's cost of debt is 7.7% and the tax rate is 37%, calculate the NPV of this loan financing.
Please round your final answers to 4 decimal places Please provide the answer in decimal
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Investments Analysis and Management
Authors: Charles P. Jones
12th edition
978-1118475904, 1118475909, 1118363299, 978-1118363294
