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PLEASE HELP, DUE SOON The Yurdone Corporation wants to set up a private cemetery business. According to the CFO, Barry M . Deep, business is
PLEASE HELP, DUE SOON
The Yurdone Corporation wants to set up a private cemetery business. According to the CFO, Barry M Deep, business is looking up As a result, the cemetery project will provide a net cash inflow of $ for the firm during the first year, and the cash flows are projected to grow at a rate of percent per year forever. The project requires an initial investment of $
a If the company requires a return of percent on such undertakings, what is the NPV of the project?
B The company is somewhat unsure about the assumption of a growth rate of percent in its cash flows. At what constant growth rate would the company just break even if it still required a return of percent on its investment?
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