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Alma Co. has been offered a business deal. If they take this deal, they will receive $6,000 each of the next 5 years (these are
Alma Co. has been offered a business deal. If they take this deal, they will receive $6,000 each of the next 5 years (these are years 1, 2, .., 5). The business opportunity requires an initial investment of $1,000 at time 0 plus and additional investment of $2,000 at year 3. What is the net present value (NPV) of this deal if the discount rate is 6%?
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