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Suppose your firm uses the NPV rule in making investment decisions and your after-tax OCF is $925000. Assume same full debt funding at 12%, tax
Suppose your firm uses the NPV rule in making investment decisions and your after-tax OCF is $925000. Assume same full debt funding at 12%, tax rate is 35%, 20 year period, straight-line depreciation, initial investment of $6000000 and after-tax exit cost of $5000000. What will be the IRR?
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