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You are considering a three-year project that costs $1,000, and has expected cash flows of $300 at the end of the 1st year, $400 at

You are considering a three-year project that costs $1,000, and has expected cash flows of $300 at the end of the 1st year, $400 at the end of the 2nd year, and $500 at the end of the 3rd year. Given a 10% required rate of return, what is the project's net present value?

           [Hint: PV = FV/(1+ r)t ]

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