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If equity investors require a 20% rate of return, what is the maximum acceptable amount of equity financing for a project with cash flows of

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If equity investors require a 20% rate of return, what is the maximum acceptable amount of equity financing for a project with cash flows of $2 million a year in perpetuity before tax and interest? The project supports debt of $3 million with a 10% coupon, and the tax rate is 21% Multiple choice $5.87 million $672 miton 585 milion 5903 milion

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