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how to solve this -Consider a firm has a target debt to equity ratio of lts considering to build a new 55 million faclity. the

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-Consider a firm has a target debt to equity ratio of lts considering to build a new 55 million faclity. the new plant is expected to generate 5.4 million in perpetuity. The company has extended financing in the following information: Equity: flotation cost 6.7% required return 12% Long term debt flotation cost 5% yield to maturity 6% Account payable: flotation 196, after tax cost is same as WACC Target account payable to LTD = Calculate the NPV of the new plant. Assume tax rate is 14%

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