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answer fast The Wyoming Wind Power C0, has decided to acquire a new piece of capital equipment. These units cost $75,000,000 and they are depreciated

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The Wyoming Wind Power C0, has decided to acquire a new piece of capital equipment. These units cost $75,000,000 and they are depreciated by the five-year MACRS Schedule. You feel that the machines have an operating life of six years. You have discussed this matter with a Leasing Company, and they have offered you a lease with annual payments of $16,000,000 for six years. Wyoming Wind Power's before tax cost of borrowing is 5.70%, and the firm faces a 21% marginal tax rate. What is the Net Advantage of Leasing (NAL) of this lease contract? Question 19 5 pts The Martin Co0, is considering the acquisition of Ramaswami Inc. Last year Ramaswami generated cash flows of $35,000,000. The managers of The Martin Co. feel that 9.00% is a reasonable discount rate for the cash flows of Ramaswami and that the cash flows of the firm will probably grow at 1.50% into the future. The Martin Co. managers also think that the union with Ramaswami will generate perpetual annual synergies of $4,800,000. Based on these assumptions, what is a reasonable price to pary for Ramaswami? $865,793,651 $712,272,727 $714,480,519 $606,538,462 $605.256,410

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