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Consider a 6-year project with an upfront investment (negative cash flow in Year O) followed by positive cash flows in all subsequent years of the
Consider a 6-year project with an upfront investment (negative cash flow in Year O) followed by positive cash flows in all subsequent years of the project. Which of the following statements is TRUE about the project's NPV? Multiple Choice The NPV of the project will decrease as you increase the discount rate. The NPV will decrease if you decrease the cash flow in Year 3 by $50 and increase the cash flow in Year 2 by $50. The NPV of the project will decrease as you decrease the discount rate. 50 and decrease the cash flow in Year 2 The NPV will increase if you increase the cash flow in Year 3 b by $50
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