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You are considering the following project. Your cost of capital is 8%. The cash flows are as follow: Year 0 1 2 3 4 -1000
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You are considering the following project. Your cost of capital is 8%. The cash flows are as follow:
Year
0
1
2
3
4
-1000
400
100
500
500
What is the NPV of this project?
A. 389
B. 221
C. 500
D. 1500
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