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This project can be undertaken at any time from now. The discount rate is 10%. The present values of the revenues and the costs at

This project can be undertaken at any time from now. The discount rate is 10%. The present values of the revenues and the costs at each year are given below. What is the optimal investment time?

Year

0

1

2

3

Cost

$20.00

$18.00

$15.00

$14.50

Revenues

$25.00

$25.00

$25.00

$25.00

A) Now

B) Year 1

C) Year 2

D) Year 3

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