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Suppose Blue Hamster Manufacturing Inc. is evaluating a proposed capital budgeting project ( project Beta ) that will require an initial investment of $ 2
Suppose Blue Hamster Manufacturing Inc. is evaluating a proposed capital budgeting project project Beta that will require an initial investment of $ The project is expected to generate the following net cash flows:
Year
Cash Flow
Year $
Year $
Year $
Year $
Blue Hamster Manufacturing Inc.s weighted average cost of capital is and project Beta has the same risk as the firms average project. Based on the cash flows, what is project Betas NPV
$
$
$
$
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