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An investment will require a $2.4 million cash outlay to enter and will generate perpetual cash inflows of $135,000 a year. Investors could earn 6

An investment will require a $2.4 million cash outlay to enter and will generate perpetual cash inflows of $135,000 a year. Investors could earn 6 percent elsewhere by taking the same risk. Will this investment generate an economic profit?

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