How many years must the firm generate the cash inflow

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Reference no: EM131337503

Channel Tunnel, Inc., plans to build a new 23-mile-long tunnel under the English Channel for added train service.

The cost (NINV) of the tunnel is expected to be $3.3 billion. Net cash inflows are expected to equal $651 million per year.

How many years must the firm generate this cash inflow stream for investors to earn their required 19 percent rate of return?

Reference no: EM131337503

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