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Your tactory has been offered a contract to produce a part for a new printer. The contract would last lor three years, and your cash

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Your tactory has been offered a contract to produce a part for a new printer. The contract would last lor three years, and your cash flows from the contract would be $4.96 million per year, Your uptront setip costs to be ready to produco the part would be $7.88 milion. Your discount rate for this contract is 8.3%. a. What does the NPV rule say you should do? b. If you take the contract, what will be the change in the value of your firm? a. What does the NPV rule say you should do? The NPV of the projoct is 4 milion (Round to two decimal places.)

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