Question
You are offered an investment with returns of $1,742 in year 1, $4,077 in year 2, and $4,661 in year 3. The investment will cost
You are offered an investment with returns of $1,742 in year 1, $4,077 in year 2, and $4,661 in year 3. The investment will cost you $6,216 today. If the appropriate Cost of Capital (quoted interest rate) is 12.6%, what is the Net Present Value of the investment? Enter your answer to the nearest $.01. Do not use the $ sign or commas in your answer. If the NPV is negative, use the - sign.
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Fundamentals of Investments, Valuation and Management
Authors: Bradford Jordan, Thomas Miller, Steve Dolvin
8th edition
1259720697, 1259720691, 1260109437, 9781260109436, 978-1259720697
