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The company owns a property originally acquired at P50 million with a useful life of 10 years. The terminal value was assumed based on the

The company owns a property originally acquired at P50 million with a useful life of 10 years. The terminal value was assumed based on the growth rate of cash flows. The annual capital investment requirement is P2 million. The outstanding loan is P16.62 million. The income tax rate is at 30%. The required rate of return for this business is 14%.

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