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The opportunity cost of borrowing currently is at 8%. Halcyon could finance building the ship by borrowing the entire investment at an interest rate less

The opportunity cost of borrowing currently is at 8%. Halcyon could finance building the ship by borrowing the entire investment at an interest rate less than 8%. How does this borrowing opportunity affect your calculation of NPV?

A) NPV will go down

B) Does not change

C)NPV will go up

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