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7) A company has the option of building a warehouse now or building it three years from now. The cost now would be $400,000, but three years from now the cost will be $500,000. If the company's minimum attractive rate of return (real i) is 12% per year and the inflation rate is 10% per year, the present worth cost of the building in three years when inflation is considered is closest to: a. $268,700 b. $355,900 c. $375,650 d. $402,700