Discount rate vary before the npv reaches zero

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NextGen Clothes Inc is considering a new capital budgeting project that will last for three years. The firm plans on using a cost of capital of 12% to evaluate this project. Based on extensive research, it has prepared the following incremental cash flow projections: FCF0=-$100,000, FCF1=$40,000, FCF2=$50,000, FCF3=$75,000. How much can the discount rate vary before the NPV reaches zero?

Reference no: EM132393535

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