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Consider a project lasting one year only. The initial outlay is $ 1 , 0 0 0 and the expected inflow is $ 1 ,
Consider a project lasting one year only. The initial outlay is $ and the expected inflow is $ The opportunity cost of capital is r The borrowing rate is rD and the tax shield per dollar of interest is Tc
Note: Do not round intermediate calculations. Round your answers to decimal places. Leave no cells blank be certain to enter wherever required.
What is the projects basecase NPV
What is its APV if the firm borrows of the projects required investment?
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