The issue costs for the debt will be 34 of face value


You are planning to issue debt to finance a new project. The project will require $20.49 million in financing and you estimate its NPV to be $14.827 million. The issue costs for the debt will be 3.4% of face value. Taking into account the costs of external? financing, what is the NPV of the? project?

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Finance Basics: The issue costs for the debt will be 34 of face value
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