Salvatore Has the Opportunity to Invest in a Scheme Which

Multiple Choice

Salvatore has the opportunity to invest in a scheme which will pay $5000 at the end of each of the next 5 years.He must invest $10,000 at the start of the first year and an additional $10,000 at the end of the first year.What is the net present value (NPV) of this investment if the interest rate is 4%?

A) -$1410.67
B) -$112.23
C) $1248.56
D) $2643.73
E) $3210.15