Question
YTL corporation is considering investing $16,000,000 in a project that will produce the cash flow shown below.in order to do the project the company will
YTL corporation is considering investing $16,000,000 in a project that will produce the cash flow shown below.in order to do the project the company will also have to spend $2,000,000 on installation and working capital to get ready to undertake project.The cost of capital WACC is 7.7 should company invest .Also how to raise fund for inveatment (short term debt,long term debt,internal equity,external equity-stock issue)
year 1: $5,400,000 year 2: $6,600,000 year 3: ($6,000,000) yea 4: $5,700,000 year 5:$12,000,000
What is tha debt to equity ratio,liquidity,cash flow.
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