Finally, we can calculate our returns to equity holders. Here we have the cash flows to equity holders, of course, assuming that there are no interim dividends. We have three years of investment during the construction phase and we have an exit year in year eight. So for the first three years, we want to get the equity issuance or the equity financing from our sources of funds.

And we want to make sure that this number is negative since it is an investment that would be 55.1 in year one and it goes up over the three year period. Now, for the exit period or for the exit year, we have made an assumption that we can sell the project at an exit multiple of EBIT. So if we go all the way up to our assumptions, we're gonna find an exit EBIT multiple of 10 times in year eight. We can multiply that times our EBIT in year eight, and we can take that from our income statement, and that would give us the enterprise value of the project in the exit year of 690. Now, to give the value to equity holders in the exit year, we need to subtract any remaining debt. And in this case, we have our ending long-term debt of 175 and possibly some remaining balance in our revolver. That gives us an exit equity value of 515. So now we can actually calculate our internal rate of return on the project using the IRR function in Excel and selecting all of the values, and that gives us a return to equity holders of 19.5%.