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If a corporation wishes to raise $200 million after floatation costs of 8%, then the total amount raised must be $216,000. O True O False
If a corporation wishes to raise $200 million after floatation costs of 8%, then the total amount raised must be $216,000. O True O False A project that costs $1 million will yield annual after tax operating cash flow including depreciation tax Shields) of $500 000 for the next five years. The firm has a DVE ratio of 0.5 and attentax cost of equity and debt of 20% and 10% respectively. As this project is sight e r than the firm's normal operations, it is decided that an adjustment factor of 3% will be added to the discount rate for the project. What is the this project's NPV? 5506.341 5612,007 $624,497 $563,586 $593,564
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