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Consider a firm that has a zero-coupon bond that matures in 4 years. The face value is $30 million, and the risk-free rate is 6%.

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Consider a firm that has a zero-coupon bond that matures in 4 years. The face value is $30 million, and the risk-free rate is 6%. The current market value of the firm' s assets is $40 million, and the firm's equity is currently worth $18 million. Suppose the = 560ofirm is considering a project with an NPV = $500,000. What is the implied standard deviation of returns? What is the delta? What is the change in stockholder value? Velve a yom

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