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CrochetCo is considering an investment in a project which would require an initial outlay of $327197 and produce expected cash flows in years 1 through

CrochetCo is considering an investment in a project which would require an initial outlay of $327197 and produce expected cash flows in years 1 through 5 of $85278 per year. You have determined that the current after-tax cost of the firm's capital (required rate of return) for each source of financing is as follows: Source of Capital Cost Weight Long-Term Debt 4% 47% Preferred Stock 8% 10% Common Stock 15% 43% What is the net present value of this project?

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