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Part $1$

You have been offered a unique investment opportunity. If you invest $ $25$ comma $000$today$,$ you will receive $ $1$ comma $250$ one year from$$ now, $ $3$ comma $750$ two years from$$ now, and $ $25$ comma $000$ ten years from now.

a$.$ What is the NPV of the investment opportunity if the interest rate is $10\%$ per$$ year? Should you take the$$ opportunity?

b$.$ What is the NPV of the investment opportunity if the interest rate is $6\%$ per$$ year? Should you take the$$ opportunity?

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Part $1$

a$.$ What is the NPV of the investment opportunity if the interest rate is $10\%$ per$$ year?$$

The NPV of the investment opportunity if the interest rate is $10\%$ per year is $$$

$$

enter your response here. $($Round to the nearest$$ cent.$)$

Part $2$

Should you take the investment$$ opportunity? $($Select the best choice$$ below.$)$

A$.$Reject it because the NPV is less than $0.$

Reject it because the NPV is less than $0.$

B$.$Take it because the NPV is equal to or greater than $0.$

Take it because the NPV is equal to or greater than $0.$

Part $3$

b$.$ What is the NPV of the investment opportunity if the interest rate is $6\%$ per$$ year?

The NPV of the investment opportunity if the interest rate is $6\%$ per year is $$$

$$

enter your response here. $($Round to the nearest$$ cent.$)$

Part $4$

Should you take the investment$$ opportunity? $($Select the best choice$$ below.$)$

A$.$Reject it because the NPV is less than $0.$

Reject it because the NPV is less than $0.$

B$.$Take it because the NPV is equal to or greater than $0.$

Take it because the NPV is equal to or greater than $0.$