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You own a business which generates $200,000 in profit per year. Someone has offered to buy it from you. Based on a 5 year projection

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You own a business which generates $200,000 in profit per year. Someone has offered to buy it from you. Based on a 5 year projection and a belief that you could earn 9% annually if you had the money today, how much do you believe the business is worth today? O $777,930.25 O $440,000.00 O $700,000.00 O $536,522.43 For the following cash flows, calculate the NPV based on a cost of capital of 12%: Investment of $50,000; Year 1-$16,000; Year 2-$20,000; Year 3-$5.000; Year 4- $29,000 0 -$1,281.01 O $2,218.52 0 -$775.00 O $3,522.00 For the following cash flows, calculate the NPV based on a cost of capital of 12%: Investment of $50,000; Year 1-$16,000; Year 2-$20,000; Year 3-$5,000; Year 4- $29,000 O -$1,281.01 O $2,218.52 O -$775.00 0 $3,522.00

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