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Question 1 - NPV (3 point): The Seattle Corporation has been presented with an investment opportunity which will yield end of year cash flows of

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Question 1 - NPV (3 point): The Seattle Corporation has been presented with an investment opportunity which will yield end of year cash flows of $30,000 per year in Years 1 through 4. $35,000 per year in Years 5 through 9, and $40,000 in Year 10. This investment will cost the firm $150,000 today, and the firm's required rate of return is 10 percent. What is the NPV for this investment? Question 2 - NPV (3 point]: Tapley Acquisition Inc. is considering the purchase of Target Company. The acquisition would require an initial investment of $190,000, but Tapley's after-tax net cash flows would increase by $30.000 per year and remain at this new level forever. Assume the required rate of retum is 15 percent. Should Tapley buy Target

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