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An investment project requires an immediate investment of -$170 million. In return, it pays $10 million in the year 1, with cash flows increasing by
An investment project requires an immediate investment of -$170 million. In return, it pays $10 million in the year 1, with cash flows increasing by 5% per year after that and lasting forever. The market interest rate is 15%. Compute the NPV of the project. Should the company take it? A. Infinite value; Yes, the company should take it. OB. $30 million; Yes, the company should take it. OC. -$70 million; No, the company shouldn't take it. OD.-$103 million; No, the company shouldn't take it
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