Patterson Co A) $5462
B) $57

Multiple Choice

Patterson Co.is considering a project that has the following cash flow and cost of capital (r) data.What is the project's NPV? Note that a project's expected NPV can be negative, in which case it will be rejected. $$\begin{array} { l c c c c } r:& 10.00 \% & & & \\\text { Year } & 0 & 1 & 2 & 3 \\\hline \text { Cash flows } & - \$ 950 & \$ 500 & \$ 400 & \$ 300\end{array}$$

A) $54.62
B) $57.49
C) $60.52
D) $63.54
E) $66.72