Home / Questions / Later that same year Dr Bhat opens a similar lab in the strip mall less than two miles awa...
Later that same year, Dr. Bhat opens a similar lab in the strip mall less than two miles away from Dr. Yuan. Dr. Yuan estimates her net cash flow in the first year will be considerably less than her initial estimate. She estimates it will be $16,000. All else equal, what happens to the NPV of Dr. Yuan’s lab?
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