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Walmart wants to buy a small technology start-up to assist with its online business. The startup wants $7.5M today, then $1M each year as management
Walmart wants to buy a small technology start-up to assist with its online business. The startup wants $7.5M today, then $1M each year as management bonuses for 3 years. If Walmarts cost of capital it can secure from banks is 3.55%. What is the value of this deal at the end of the 3rd year?
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