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-Refer to Exhibit T13

Question 22

Multiple Choice

  -Refer to Exhibit T13.1. Assume 50% of the project's expected cash flows are retained in the host country until the project is 3 years old. The opportunity cost of these funds is i<sup>€</sup> = 5%, but these blocked funds earn no interest. What is the NPV of the opportunity cost from these blocked funds? A)  €569.16 B)  €598.24 C)  €625.80 D)  €658.68 E)  €683.22
-Refer to Exhibit T13.1. Assume 50% of the project's expected cash flows are retained in the host country until the project is 3 years old. The opportunity cost of these funds is i = 5%, but these blocked funds earn no interest. What is the NPV of the opportunity cost from these blocked funds?


A) €569.16
B) €598.24
C) €625.80
D) €658.68
E) €683.22

Correct Answer:

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