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QUESTION 1 An auto parts company is deciding whether to sponsor a racing team for a cost of $3,684,104. The sponsorshipwould last for 11 years

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QUESTION 1 An auto parts company is deciding whether to sponsor a racing team for a cost of $3,684,104. The sponsorshipwould last for 11 years and is expected to have cash flows by $373,686 per year. If the discount rate is 8.39%, what willbe the change in the value of the company if it chooses to go ahead with the sponsorship

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