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Assume that the firm invests $155,000 today to get $25,000 at Year 1 (i.e. one year from now), $43,000 at Year 2,$66,000 at Year 3,$56,000

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Assume that the firm invests $155,000 today to get $25,000 at Year 1 (i.e. one year from now), $43,000 at Year 2,$66,000 at Year 3,$56,000 at Year 4,$36,500 at Year 5, $29,500 at Year 6. What's the Net Present Value of this investment? Assume the Interest (discount) rate of 10.4%. $28,221.50 $24.924.82 $26,512.35 $25.945.92 How would your from Question 31 change if: 1) The money made beginning at Year 1 would increase by 15% each year (for example, $25,000 made under the default scenario now increases to $25,0001.15=$28,750 ), and 2) The discount rate goes up from 10.40% to 16.75%. Note: Assume the amount of initial investments remain the same at $155,000. $28,256,82 $21,008.45 $28.221.50 $24.924.82

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