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You own a semiconductor manufacturing facility and are wondering whether you should upgrade the production technology. By doing so you would increase your annual cash

You own a semiconductor manufacturing facility and are wondering whether you should upgrade the production technology. By doing so you would increase your annual cash flows by $12 million dollars for the next 8 years. If you evaluate projects using a discount rate of 7%, would you undertake this project given an initial investment of $80 million?

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