You are trying to decide whether the business you work for should invest in a new coffee machine. The business's finance manager says that at the required rate of return of 20%p.a. this investment has a Net Present Value of $0. Should the business make this investment?

Group of answer choices

No, because the return of 20%p.a. is far too high for a coffee machine

No, because the business already has a coffee machine.

No, because the machine looks like it is going to make 0% profit

Yes, because the investment is expected to produce a return of 20%p.a.