Expand an existing project

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S. Miller is looking to expand an existing project. The expansion requires an immediate outflow (an investment today) of $81 million. S. Miller anticipates that the project will generate one future cash flow of $175 million that will arrive at the end of year 7, and only in that year. The company considers the required rate of return of the project to be 12.75%

Reference no: EM131056164

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