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If an investment costing $2,000 is expected to generate real cash flows of $900 p.a. for three years, prices are expected to increase at a
If an investment costing $2,000 is expected to generate real cash flows of $900 p.a. for three years, prices are expected to increase at a rate of 5% p.a., and the nominal cost of capital is 15%, what is the net present value of the investment? Answer to the nearest dollar.
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