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If The WeLoveFinanceAndWantToTakeMore Company invests in the following 4-year project, by what amount is the value of the company expected to change? Assume a cost
If The WeLoveFinanceAndWantToTakeMore Company invests in the following 4-year project, by what amount is the value of the company expected to change? Assume a cost of capital of 8%.SHOW ALL WORK on the TI BAII Plus Calculator FOR FULL CREDIT.
Estimated end-of-year cash Flows:
Year 0 (today) -$150,000
Year 1 $40,000
Year 2 $28,000
Year 3 $31,000
Year 4 $95,000
b) (2 pts) Should the company accept or reject it?
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