Question
1.You are offered an investment opportunity in which you will receive $23,750 today in exchange for paying $25,000 in one year. Suppose the risk -
1.You are offered an investment opportunity in which you will receive $23,750 today in exchange for paying $25,000 in one year. Suppose the risk - free interest rate is 6% per year. Should you take this project? The NPV for this project is closest to:
A.
Yes; NPV = $165
B.
No; NPV = $165
C.
Yes; NPV = minus$165
D.
No; NPV = minus$165
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Analysis for Financial Management
Authors: Robert C. Higgins
12th edition
1259918963, 9781260140729 , 978-1259918964
