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General Motors has a weighted average cost of capital of 9%. GM is considering investing in a new plant that will save the company $20
General Motors has a weighted average cost of capital of 9%. GM is considering investing in a new plant that will save the company $20 million over each of the first two years, and then $15 million each year thereafter, continuing indefinitely. If the investment is $150 million, what is the net present value (NPV) of the project? O A. $25.5 million O B. $20.4 million OC. $22.9 million OD. $17.8 million
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