Proposed nuclear power plant will cost

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Reference no: EM132006470

A proposed nuclear power plant will cost $1.4 billion to build and then will produce cash flows of $220 million a year for 15 years. After that period (in year 15), it must be decommissioned at a cost of $820 million. (Negative amounts should be indicated by a minus sign. Do not round intermediate calculations. Enter your answers in billions rounded to 3 decimal places.)

a. What is project NPV if the discount rate is 5%?

Reference no: EM132006470

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