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I need the answer of number 9. Real Options B Part 1: You rent office space so you can start a new company. You need

I need the answer of number 9. image text in transcribed
Real Options B Part 1: You rent office space so you can start a new company. You need to sign a 2-year lease for $10,000 a year due today and at t=1. After one year, you will know if you new company will take off or not. There is a 25% chance that your company takes off and you will make $80,000 (t=2). There is a 75% chance your business does not succeed. If the discount rate is 8%, What is the expected NPV of starting this company? $0 $17,147 -$2,112 O $15,034 QUESTION 9 Real Options Part 2: You rent office space so you can start a new company. You need to sign a 2.year lease for 510,000 a year due today and at 1. After one year, you will know if you new company will take off or not. There is a 25% chance that your company takes off and you will make $80,000 (t2). There is a 75% chance your business does not succeed. If you do not succeed, you can rent the office space to another entrepreneur for 54,000 in the second year (pald att-2). What is the NPV of this project with the option to abandon in the second year

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