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16. Taylor Technologies has a target capital structure thatconsists of 40% debt and 60% equity. The equity will be financedwith retained earnings. The company’s bonds have a yield tomaturity of 10%. The company’s stock has a beta = 1.1. Therisk-free rate is 6%, the market risk premium is 5%, and the taxrate is 30%. The company is considering a project with thefollowing cash flows:Project AYear Cash Flow0 -$50,0001 35,0002 43,0003 60,0004 -40,000What is the project’s MIRR?
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