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You are considering opening a new plant. The plant will cost S102 4 million up front and will take one year to bulld. After that

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You are considering opening a new plant. The plant will cost S102 4 million up front and will take one year to bulld. After that it is expected to prochuce profits of $30.4 million at the end of every year of production. The cash flows are expected to last forever. Calculate the NPV of this investment opportunity if your cout of capital is 88% Should you make the investment? Calculate the IRR and use it to determine the maximum deviation allowable in the cost of capital estimate to leave the decision unchanged The NPV or the project will be s million (Round to one decimal place.) You make the investment (Select from the drop-down menu) The IRR in % (Round to two decimal places) The maximum deviation allowable in the cost of capital estimate in % (Round to two decimal places)

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