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Consider a project with an initial investment of $1,000, followed by five years of positive cash flows. Which of the following is true? 1.The project's
Consider a project with an initial investment of $1,000, followed by five years of positive cash flows. Which of the following is true?
1.The project's NPV is the present value of future cash flows, minus $1,000.
2.The project's NPV is the present value of future cash flows, plus $1,000.
3. The project's NPV is the present value of only the future cash flows.
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