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Rocket Inc. is considering a project that has the following cash flow and WACC data. WACC:...

Rocket Inc. is considering a project that has the following cash flow and WACC data.

WACC:

10.00%

Year

0   

1

2

3

4

Cash flows

-$1,000

$510

$440

$425

$405

What is the project's payback?

  
What is the project's discounted payback?

  
Is the project worthwhile to undertake? (Would you undertake the project?) Why?

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Expert Solution

jeff jeffy answered 2 years ago
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