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You expect a projects post-tax incremental cash flows to start at $2,000 next year (t=1) and grow by 4% per year until time 11. Beginning
You expect a projects post-tax incremental cash flows to start at $2,000 next year (t=1) and grow by 4% per year until time 11. Beginning after time 11, you expect cash flows to grow at 7.5% in perpetuity. Assuming an opportunity cost of capital of 12% what is the value today (at t=0) of the after-tax terminal value at time 10 (i.e., the present value of cash flows arriving after t=1 Group of answer choices
$10,566
$21,132
$23,541
$11,762
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