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You have an opportunity to invest $49,400 now in return for $59,400 in one year. If your cost of capital is 8.3%, what is the NPV of this investment? The NPV will be $ (Round to the nearest cent.)

You have an opportunity to invest $49,400 now in return for $59,400 in one year. If your cost of capital is 8.3%, what is the NPV of this investment? The NPV will be $ (Round to the nearest cent.)

Essentials Of Investments
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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You have an opportunity to invest $49,400 now in return for $59,400 in one year. If your cost of capital is 8.3%, what is the NPV of this investment? The NPV will be $ (Round to the nearest cent.)
Transcribed Image Text:You have an opportunity to invest $49,400 now in return for $59,400 in one year. If your cost of capital is 8.3%, what is the NPV of this investment? The NPV will be $ (Round to the nearest cent.)
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