Question
You run a construction firm. You have just won a contract to build a government office complex. Building it will require an investment of $10.1
You run a construction firm. You have just won a contract to build a government office complex. Building it will require an investment of $10.1 million today and $5.3 million in one year. The government will pay you million in one year upon the building's completion. Suppose the interest rate is 10.4%
a. What is the NPV of this opportunity?
b. How can your firm turn this NPV into cash today?
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Financial Management Of Health Care Organizations
Authors: William N. Zelman, Michael J. McCue, Alan R. Millikan, Noah D. Glick
2nd Edition
063123098X, 9780631230984
