It is expected to make 43 million in the year it is


You are considering making a movie. The movie is expected to cost $10.8 million up front and take a year to produce. After? that, it is expected to make $4.3 million in the year it is released and $1.8 million for the following four years. What is the payback period of this? investment? If you require a payback period of two? years, will you make the? movie? Does the movie have positive NPV if the cost of capital is 10.1%??

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Financial Management: It is expected to make 43 million in the year it is
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