Ford Motors expects a new hybrid-engine project to produce incremental cash flows of $60 million each year,and expects these to grow at 4% each year.The upfront project costs are $420 million and Ford's weighted average cost of capital is 9%.If the issuance costs for external finances are $15 million,what is the net present value (NPV)of the project?

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The Answer of Ford Motors expects a new hybrid-engine project to produce incremental cash flows of $60 million each year,and expects these to grow at 4% each year.The upfront project costs are $420 million and Ford's weighted average cost of capital is 9%.If the issuance costs for external finances are $15 million,what is the net present value (NPV)of the project?

Ford Motors Expects a New Hybrid-Engine Project to Produce Incremental