Question
Consider the following debt-free project for a machine: Physical Lifespan 5 years Capital Expense, Year 0 $12,000 EBITDA / Year $8,000 Cost of Capital 6.7%
Consider the following debt-free project for a machine: Physical Lifespan 5 years Capital Expense, Year 0 $12,000 EBITDA / Year $8,000 Cost of Capital 6.7% Tax Rate 20% Depreciation Life 4 years What is the value of this project?
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The Finance Book
Authors: Stuart Warner, Si Hussain
2nd Edition
1292401982, 978-1292401980
