A company has $25 million in cash and the interest rate is 12%.The company has decided to invest $20 million in assets,and the investment has a net present value of $5 million.What is the wealth of the company's shareholders immediately after the investment plan is announced?
A) $30 million.
B) $10 million.
C) $28 million.
D) $25 million.
Correct Answer:
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