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NEW QUESTION: 1
A. Option C
B. Option B
C. Option A
D. Option D
Answer: A
NEW QUESTION: 2
A. 0
B. 1
C. 2
D. 3
Answer: B
NEW QUESTION: 3
A company must decide today whether to proceed with a proposed project. If the project proceeds, the initial investment of $150,000 would be made in one year's time. The benefit of the project would be a perpetuity of $22,000 per year commencing one year after the investment is made. The company's cost of capital is 14% per year.
To the nearest $100, what is the net present value of the project?
A. $7,100
B. -$12,200
C. $25,600
D. $6,300
Answer: D
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