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The Yurdone Corporation wants to set up a private cemetery business. According to the CFO, Barry M. Deep, business is looking up. As a result,
The Yurdone Corporation wants to set up a private cemetery business. According to the CFO, Barry M. Deep, business is looking up. As a result, the cemetery project will provide a net cash inflow of $123,000 for the firm during the first year, and the cash flows are projected to grow at a rate of 5.6 percent per year forever. The project requires an initial investment of $1,460,000. If the company requires a return of 12 percent on such undertakings, what is the NPV of the project? Note: Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16. The company is somewhat unsure about the assumption of a growth rate of 5.6
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