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Unformatted text preview: 15% Output area: NPV of going to market now $17,850,000.00 NPV of market research $18,043,478.26 The company should use the market research since this option has the highest NPV. Chapter 9 Question 10 Input area: Stock return 55.20% Average inflation 4.20% Average T-bill rate 5.10% Output area: a. Average real return 48.94% b. Average nominal risk premium 50.10%...
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- Fall '09
- Corporate Finance