Question
You have just been offered a contract worth $8 million per year for three years. However, to take the contract, you will need to purchase
You have just been offered a contract worth $8 million per year for three years.
However, to take the contract, you will need to purchase some new equipment. Your
discount rate for this project is 16%. You are still negotiating the purchase price of
the equipment. What is the most you can pay for the equipment and not have a
negative NPV?
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Essentials Of Real Estate Finance
Authors: David Sirota
11th Edition
1419520911, 9781419520914
