You have been offered a unique investment opportunity. If you invest $10,400 today, you will receive $520 one year from now, $1,560 two years from now, and $10,400 ten years from now.

a. What is the NPV of the opportunity if the cost of capital is 5.8% per year? Should you take the opportunity?

b. What is the NPV of the opportunity if the cost of capital is 1.8% per year? Should you take it now?