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Use the Table for the Question(s)below

Question 42

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Use the table for the question(s)below.
Suppose the term structure of interest rates is shown below: Use the table for the question(s)below. Suppose the term structure of interest rates is shown below:   -What is the NPV of an investment that costs $2500 and pays $1000 certain at the end of one,three,and five years?
-What is the NPV of an investment that costs $2500 and pays $1000 certain at the end of one,three,and five years?

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NPV = -$2500 + $1000...

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