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You own a coal mining company and are considering opening a new mine. The mine will cost $1152 million to open If this money is

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You own a coal mining company and are considering opening a new mine. The mine will cost $1152 million to open If this money is spent immediately, the mine will generate $20.8 million for the next 10 years. After that , the coal will run out and the site must be cleaned and maintained al environmental standards The cleaning and maintenance are expected to cost $1.7 million per year in perpetuity What does the IRR rule say about whether you should accept this opportunity? I tho cost of capital is 79%, what does the NPV rule say? Use the graph below to determine the IRR(S) in the problem NPV of the Investment in the Coal Mine 20 10- NPV 5 milions 15 10 Discount Rate (9

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