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Given the following data for Project X: NPV of the project without abandonment: -$2 million; abandonment option value: $6million. Calculate the adjusted present value (APV)
Given the following data for Project X: NPV of the project without abandonment: -$2 million; abandonment option value: $6million. Calculate the adjusted present value (APV) of the project:
A. | -$2 million | |
B. | +$4 million | |
C. | +$2 million | |
D. | none of the above |
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