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Help me with the steps please Infiation Adjustments The Rodriguez Company is considering an average-risk investment in a mineral water spring project that has a

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Infiation Adjustments The Rodriguez Company is considering an average-risk investment in a mineral water spring project that has a cost of $125,000. The project wil produce 800 cases of mineral water per year indefinitely. The ament sales price is $138 per case, and the current cost per case is$104. The firm is taxed at a rate of 31%. Both prices and costs are expected to rise at te of 4% per year. The firm uses only equity, and it has a cost of capital of 16%. Assume that cash flows consist only of after-tax profits, because the spring has an indefinite and will not be depreciated. a. What is the NPV of the project? Do not round intermediate steps. Round your answer to the nearest hundred dolars. (Hint: The project is a growing perpetuity, so you must use the constant growth formula to find its NPV.) 156400

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