Multiple Choice
Assume that an investment of $1000 is expected to generate cash flows of $500 at constant prices at the end of each of three years.Also,assume that prices are expected to increase at the rate of 10% p.a.and that the nominal rate of return is 15% p.a.What is the project's NPV?
A) $337
B) $373
C) $377
D) None of the given options.
Correct Answer:

Verified
Correct Answer:
Verified
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