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Why we do not consider the cash flows related to the financing?

When you use the after-tax cost of capital to be the discount rate, you basically take in the effect of the financing.

If you discount the project cash flows (without financing) by the after-tax cost of capital, you will get the exact net present value as you use it to discount the total cash flows (project cash flows plus the financing cash flows).

That is, when you use the after-tax cost of capital to discount financing related cash flows, the net present value would be zero.

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