You have been offered a unique investment opportunity. If you invest $$11,800$ today, you will receive $$590$ one year from now, $$1,770$ two years from now, and $$11,800$ ten years from now.

a$.$ What is the NPV of the opportunity if the cost of capital is $6\mathrm{.}7\%$ per year? Should you take the opportunity?

b$.$ What is the NPV of the opportunity if the cost of capital is $2\mathrm{.}7\%$ per year? Should you take it now?

per year!

If the cost of capital is $6\mathrm{.}7\%$ per year, the NPV is $ $($Round to the nearest cent$)$

Should you take the opportunity? $($Select from the drop$-$down menu.$)$

You take this opportunity.

b$.$ What is the NPV of the opportunity if the cost of capital is $2\mathrm{.}7\%$ per year?

If the cost of capital is $2\mathrm{.}7\%$ per year, the NPV is $$.($Round to the nearest cent.$)$