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IMB Inc. undertakes a $ 5 0 MM project with $ 2 0 MM in cash from reserves and borrows $ 3 0 MM; the

IMB Inc. undertakes a $50 MM project with $20 MM in cash from reserves and borrows $30 MM; the project yields a net profit of $10MM - what are the rates of return (unlevered and levered? If the net profit turns out to be - $10MM, what do you notice about leverage?

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