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Ellmann Systems is considering a project that has the following cash flow and cost of capital (r) data. What is the project's NPV? Note that
Ellmann Systems is considering a project that has the following cash flow and cost of capital (r) data. What is the project's NPV? Note that if a project's expected NPV is negative, it should be rejected.
| r: | 9.00% |
|
|
|
| Year | 0 | 1 | 2 | 3 |
| Cash flows | $1,000 | $500 | $500 | $500 |
|
| a. | $265.65 |
|
| b. | $278.93 |
|
| c. | $292.88 |
|
| d. | $307.52 |
|
| e. | $322.90 |
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