Find the maximum shutdown costs you could incur

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Reference no: EM131010511

You are getting ready to start a new project that will incur some cleanup and shutdown costs when it is completed. The project costs $5 million upfront and is expected to generate $2 million per year for ten years and then have some shutdown costs in year 11. Find the maximum shutdown costs you could incur and still meet your cost of capital of 10% on this project.

Reference no: EM131010511

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