Answer to Question #285503 in Financial Math for Ankit

Question #285503

Suppose a project requires an initial investment of ＄2000 and it is expected to generate a

cash flow of ＄100 for 3 years plus ＄12500 in the third year. The target rate of return of

the project is 10% per annum. Calculate the net present value of the project.

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