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You have been offered a unique investment opportunity if you invest $20,000 today, you will receive $1,000 one year from now, $3,000 two years
You have been offered a unique investment opportunity if you invest $20,000 today, you will receive $1,000 one year from now, $3,000 two years from now, and $20,000 ten years from now (a) The NPV of the opportunity if the interest rate is 10% per year is $ Should you take the opportunity OReject it because the NPV is less than 0 (Round to the nearest dollar) Otake it because the NPV is equal or greater than 0 (b) The NPV of the opportunity if the interest rate is 0% per year is (Round to the nearest dollar) Should you take the opportunity CReject & because the NPV is less than 0. Otake it because the NPV is equal or greater than 0 Check What is the present value of $5,000 paid at the end of each of the next 70 years if the interest rate as 9% per year? The present value is (Round to the nearest dollar) Check
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