Growth enterprises believes its latest project which will


Growth enterprises believes its latest project, which will cost $81,000 to install, will generate a perpetual growing stream of cash flows. Cash flow at the end of the first year will be $6,000, and cash flows in future years are expected to grow indefinitely at an annual rate of 6%. If the discount rate for this project is 12%, what is the project NPV? What is the project IRR?

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Financial Management: Growth enterprises believes its latest project which will
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