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You are a consultant to a large manufacturing corporation considering a project with the following...

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Finance

You are a consultant to a large manufacturing corporation considering a project with the following net after-tax cash flows (in millions of dollars): Years from Now After-Tax CF 0 $ 30 1 to 10 $ 15 The project's beta is 1.9. Assuming rf = 4% and E(rM) = 14% Required: a. What is the net present value of the project?

What is the highest possible beta estimate for the project before its NPV becomes negative?

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