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Assume that the firm invests $155,000 today to get $35,000 at Year 1 (i.e. one year from now). $39,000 at Year 2, $67,000 at Year

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Assume that the firm invests $155,000 today to get $35,000 at Year 1 (i.e. one year from now). $39,000 at Year 2, $67,000 at Year 3,$59,000 at Year 4,$38,500 at Year 5,$25,500 at Year 6 What's the Net Present Value of this investment? Assume the Interest (discount) rate of 10.5%. $45,235.64$39,124.68$26,246.35$35,222.99 How would your from Question 31 change if: 1) The money made beginning at Year 1 would increase by 20% each year (for example, $35,000 made under the default scenario now increases to $35,0001.2=$42,000), and 2) The discount rate goes up from 10.5% to 19.5%. Note: Assume the amount of initial investments remain the same at $155,000. $24,218.08 $35,222.99 $38,253.35 $28,231.78

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