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Lecture

Q2 WACC and NPV (Medium)

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Department
Rotman Commerce
Course
RSM332H1
Professor
All Professors
Semester
Fall

Description
WACC and NPV (Medium) Scanlin, Inc., is considering a project that will result in initial after tax cash savings of $2.7 million at the end of the first year, and these savings will grow at a rate of 4 percent per year indefinitely. The firm has a target debt-equity ratio of 0.90, a cost of equity of 13 percent, and an aft
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