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You are a manager at Percolated Fiber, which is considering expanding its operations in syrthefic fiber manulacturing Your boss comes into your office, drops a

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You are a manager at Percolated Fiber, which is considering expanding its operations in syrthefic fiber manulacturing Your boss comes into your office, drops a consultant's report on your desk and complains, "We owe these consulants $1.100 milion for this report, and I am not sure their analysis makes serise. Befoee we spend the $23. 700 milion on new equipment needed for this project look it over and give me your opinion." You open the report and find the following estimates (in milions of dollon)? milion per year for 10 years, the propect a worth $54760 milion. You think back to your glory days in france clast and realize Fere is more work to be sore! You are a manager at Pertolabed Fiber, which is considering expansing its operafons in symithetic fliber manulachuring Your boss comes into your oftice, diops a consultant's report on your desk. Fis project, loek it over and give me your opinion " You open the report and find the following estimates (in millions of dollars) milion per year for 10 years, the project is worth $54.780 millon. You Fink back to your gloy days in finance class and reakize there is more work fo be done! is not acoestind. Finally, you know that accounting earninge are not the right tsing to focis oni b. If the cost of capits for this project is 15%, whot is your estimate of the value of the new project? Data table (Click on the following icon in order to copy its contents into a spreadsheet.)

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