What is the equivalent annual cost of the project

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Moonlight Gas & Electric Inc. is undertaking a 50-year project that requires an initial investment of $100 million. The project provides no annual cash inflow for the first ten years, an annual cash inflow of $23 million from Year 11 through Year 20, and an annual cash inflow of $36 million during the subsequent 30 years. If the firm's required return for this project is 10.20%, What is the Equivalent Annual Cost (EAC) of the project?

Reference no: EM133119141

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