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1.What is the NPV of an investment that costs $150,000 and returns $80,000 in the first year but then declines by 8%/year with the final
1.What is the NPV of an investment that costs $150,000 and returns $80,000 in the first year but then declines by 8%/year with the final cash flow coming in year 5?Assume a discount rate of 9.4%.
a)$250,000
b)$366,400
c)$116,400
d)$190,900
e)$40,900
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