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You have come up with the following estimates of project cash flows: The cash flows are perpetuities and the cost of capital is 8%. What

You have come up with the following estimates of project cash flows:

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The cash flows are perpetuities and the cost of capital is 8%. What does a sensitivity analysis of NPV (without taxes) show?

Investments Total Revenues Total Costs Pessimistic Most Likely Optimistic -100 -80 -60 +30 +40 +50 -20 -15 -10

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