Calculate the npv and irr without mitigation

Assignment Help Finance Basics

Reference no: EM13286180

A mining company is considering a new project. Because the mine has received a permit, the project would be legal; but it would cause significant harm to a nearby river. The firm could spend an additional $9.33 million at Year 0 to mitigate the environmental problem, but it would not be required to do so. Developing the mine (without mitigation) would cost $54 million, and the expected net cash inflows would be $18 million per year for 5 years. If the firm does invest in mitigation, the annual inflows would be $19 million. The risk adjusted WACC is 14%.

Calculate the NPV and IRR without mitigation. Round your answers to two decimal places.

Reference no: EM13286180

Questions Cloud

Create a mealy fsm with an input a and an output z : Create a Mealy FSM with an input A and an output Z. If 10101 shows up on A, then in the same cycle 1 should show up on Z, else Z is 0. Do the entire FSM design following all steps: State diagram, state tables, all equations, and circuit.

State the balanced reaction for the equilibrium : write the balanced reaction for the equilibrium. if CoCl6(4-) solubility is endothermix, predict what will happen to the solution color of the solution is heated.

Find the frequency heard by the engineer on train : Two trains on separate tracks move toward each other. Train 1 has a speed of 115 km/h; train 2 a speed of 62.0 km/h. What is the frequency heard by the engineer on train 1

What is the value of the unknown resistance : A resistor of unknown resistance and a 42.0-? resistor are connected across a 123.0-V emf device in such a way that an 10.0-A current flows

Calculate the npv and irr without mitigation : Calculate the NPV and IRR without mitigation. Round your answers to two decimal places.

How to write verilog code of a 4 bit shift register circuit : Write Verilog code of a 4 bit Shift Register circuit which may shift right or shift left depending on control signal ‘M' using structural modeling. Also write the Verilog code of the D Flip Flop using either behavioral or gate level modeling.

Calculate the electric field in the wire : A copper wire has radius r = 0.424 cm, is 6.00 m long, has resistivity ? = 1.72·10-8 ? m, What is the electric field, E, in the wire

What is the new divisor for the price-weighted index : Able, Baker, and Charlie are the only three stocks in an index. The stocks sell for $94, $312, and $90, respectively. If Baker undergoes a 2-for-1 stock split, what is the new divisor for the price-weighted index?

Explain elements were involved in redox reactions : If the following elements were involved in redox reactions, which noble-gas configuration would they most likely attain?LI,Na,O,P,Sc,As,Sr--- He,Ne,Ar,Kr matching

User Account

All Pages