You have been offered to invest in a business project. The project would require you to make an initial outlay of 1205 SEK today, and you would receive a positive cash flow of 724 SEK year 1 and 211 SEK year 2. The project will be sold for 500 SEK after 2 years when you finish it.

Calculate the NPV, assuming a discount rate of 13.4 percent.

(Answers are rounded to the nearest integer)

a)

-857 SEK

b)

-402 SEK

c)

1191 SEK

d)

-14 SEK

e)

589 SEK