Question
Suppose ABI Construction is considering investing in a new project of urban development. The cost of bringing the project to market is 10M, but ABI
Suppose ABI Construction is considering investing in a new project of urban development. The cost of bringing the project to market is 10M, but ABI expects five years no incremental cash flows from the project to be $10M. Using the calculated WACC in the previous question, What is the net present value of the project, and should ABI Construction go ahead with the project?" (WACC= 9.50%) | |||||||||
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