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N2 Suppose that a dam project can be built in 4 years at a cost of $250K per year after which the dam will return
N2
Suppose that a dam project can be built in 4 years at a cost of $250K per year after which the dam will return $50K/year in electricity for 40 years (net of maintenance costs). What is the present discounted value of this project, if the discount rate is 4%/year?
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