Checked Capital Budgeting NPV \begin{tabular}{cc} Year & Cash Flows \\ \hline 0 & 5,793 \\ 1 & 1,517 \\ \hline 2 & 1,682 \\ 3 & 1,755 \\ 4 & 2,080 \end{tabular} Currently, the investor's required rate of return Please compute the project's NPV (hint: it is positive). What if interest rates in the broad economy went up. and also the firm became riskier? Investors would require a higher rate of return. 1. Suppose the required rate increases 2%. How much would the NPV drop? A Between 200 and 270 B Between 270 and 280 C Between 280 and 290 D Between 290 and 300 2. Should the firm still accept the project? A Yes B No