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You are looking at an investment that will provide the following cash flows in dollars: ( Year 1 : 1 5 , 0 0 0

You are looking at an investment that will provide the following cash flows in dollars: (Year 1: 15,000); (Year 2: 20,000); (Year 3: 25,000). If the discount rate increases from 7% to 10%, what will happen to the Present Value of the investment today?
The present value will increase.
The present value will decrease.
The present value will remain unchanged.
The present value will increase but only slightly.

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