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A Company Has Cash Outflows of $21 275 Starting Today

Question 27

Multiple Choice

A company has cash outflows of $21 275 starting today for each of the next 5 years. After that they will have cash inflows of $16 000 for each of the following 7 years. The discount rate is 9% compounded annually. What is the NPV?


A) -$30 415.15
B) -$34 015.15
C) -$4015.15
D) -$341.51
E) -$41.51

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