Levered cash flows using the levered cost of equity

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Reference no: EM131980762

The flow-to-equity approach to capital budgeting involves all of the following except: calculating the levered cost of equity. Determining the amount of the investment that is not borrowed. Computing the PV of the cash flows using the cost of equity for an all-equity firm. Discounting the levered cash flows using the levered cost of equity. Computing the project’s NPV.

Reference no: EM131980762

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