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An Initial Investment of $400,000 Is Expected to Produce an End-Of-Year

Question 10

Multiple Choice

An initial investment of $400,000 is expected to produce an end-of-year cash flow of $480,000.What is the NPV of the project at a discount rate of 20%?


A) $176,000
B) $80,000
C) $0 (zero)
D) $64,000

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