Present values Recalculate the NPV of the office building venture in Example 2.1 at interest rates of 5, 10, and 15%. Plot the points on a graph with NPV on the vertical axis and the discount rates on the horizontal axis. At what discount rate (approximately) would the project have zero NPV? Check your answer.

XABLE 2.1 An example of an amortizing loan. If you borrow $1,000 at an interest rate of 10%, you would need to make an annual payment of $315.47 over four years to repay that loan with interest