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The net present value of the project is $_____ million (round to three decimal places) River Rock (should or should not) take on this project
The net present value of the project is $_____ million (round to three decimal places)
River Rock (should or should not) take on this project because the NPV is (positive or negative)?
River Rocks, Inc., is considering a project with the following projected free cash flows: 0 1 2 4 Year Cash Flow (in millions) - $50.1 $9.9 $19.1 $20.7 $14.1 The firm believes that given the risk of this project, the WACC method is the appropriate approach to valuing the project. River Rocks' WACC is 11.7%. Should it take on this project? Why or why not? The timeline for the project's cash flows is: (Select the best choice below.) O A. Cash Flows (millions) $50.1 $9.9 - $19.1 -$20.7 - $14.1 + - 1 Year 0 1 2 3 4 O B. Cash Flows (millions) - $50.1 - $9.9 - $19.1 - $20.7 - $14.1 + Year 0 2 3 4 O C. Cash Flows (millions) - $50.1 $9.9 $19.1 $20.7 $14.1 Year 0 1 2 3 4 OD. Cash Flows (millions) $50.1 $9.9 $19.1 $20.7 $14.1 Click to select your answer(s)Step by Step Solution
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