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A communications and technology company is evaluating its supply policy. Your current supplier has offered you a contract for the next 5 years. Each year

A communications and technology company is evaluating its supply policy. Your current supplier has offered you a contract for the next 5 years. Each year 200,000 units would be supplied at a price of 110 each. The company has hired a consulting firm that has found an alternative supplier that would be willing to supply the 200,000 units per year for the next 5 years at a price of 103. The cost of changing providers is 1,500,000. If the consulting service has involved a total cost of 50,000 and the cost of capital of the company is 10%. Determine the NPV of the project

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