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A commercial real estate investment has the following expected cash flows: Year Cash Flows 1 $10,000 2 25,000 3 50,000 4 35,000 The projects initial

A commercial real estate investment has the following expected cash flows:

Year Cash Flows

1 $10,000

2 25,000

3 50,000

4 35,000

The projects initial cost is $75,000. The discount rate is 8 percent. What is the investment's net present value (NPV)?

a. $13,799

b. $18,000

c. $12,000

d. $21,110

e. $17,592

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