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Analyze a project with the following net after tax cash flows (in millions of dollars). Year 0 cost: - $15.75. Years 1 - 7: +

Analyze a project with the following net after tax cash flows (in millions of dollars). Year 0 cost: - $15.75. Years 1 - 7: + $3.75. Year 8: + $2.5. Project has a beta of 1.45. Assume a risk free rate of 3.25% and an expected market rate of 9.8%. What is the net present value of the project? What is the highest possible beta before NPV turns negative? What is the highest premium at the original beta before the project turns negative?

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