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Assume a new investment project is expected to generate free cash flows of $1,000 and $1,000 in 2023 (first year) and 2024 (Second year), respectively.

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Assume a new investment project is expected to generate free cash flows of $1,000 and $1,000 in 2023 (first year) and 2024 (Second year), respectively. The forecasted annual inflation is 6% a year. 4. Show (4) the real free cash flow (ofter inflation rate is considered) in 2023 (First Year) and 2024 (Second Year). 5. Assume that WACC is 10%. What is the present value of the project to invest flnvestment year is 2022)? Show your work

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