Use the following information to answer the question(s) below.
You are considering investing in a start-up project at a cost of $100,000.You expect the project to return $500,000 to you in seven years.Given the risk of this project,your cost of capital is 20%.
-The NPV for this project is closest to:
A) $29,200.
B) $39,500.
C) $129,200.
D) $139,500.
Correct Answer:
Verified
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