Business, 20.04.2020 20:31 makaylahunt
An auto plant that costs $100 million to build can produce a line of flexfuel cars that will produce cash flows with a present value of $140 million if the line is successful but only $50 million if it is unsuccessful. You believe that the probability of success is only about 50%. You will learn whether the line is successful immediately after building the plant.
Would you build the plant?
Answers: 1
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An auto plant that costs $100 million to build can produce a line of flexfuel cars that will produce...
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