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You have been offered a unique investment opportunity. If you invest $10,200 today, you will receive $510 one year from now, $1,530 two years from

You have been offered a unique investment opportunity. If you invest $10,200 today, you will receive $510 one year from now, $1,530 two years from now, and $10,200 ten years from now.

a. What is the NPV of the opportunity if the cost of capital is 5.6% per year? Should you take the opportunity?

b. What is the NPV of the opportunity if the cost of capital is 1.6% per year? Should you take it now

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