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Consider a government - sponsored project that guarantees $ 3 5 0 in one period. Cost of investment is $ 3 0 0 ( the

Consider a government-sponsored project that guarantees $350 in one period.
Cost of investment is $300(the firm only has $200 now), so the stockholders will have to supply an additional $100 to finance the project.
Required return is 10 percent. Should you accept or reject the government project

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