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A project has the following net real cash flows ( that is after all costs and tax ) . Y 1 : R 1 0

A project has the following net real cash flows (that is after all costs and tax). Y1: R1000; Y2: R3000; Y3: R5000. The inflation rate is 6% while the company has a WACC (the relevant discount rate) of 10%. Calculate the real rate adjusted discount rate and the NPV at this rate. Choose the nearest, most correct option below.
a.
R7145
b.
R7990
c.
R8001
d.
R8224

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