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Isabella Is Contemplating Investing $10,000 in an Investment

Question 68

Multiple Choice

Isabella is contemplating investing $10,000 in an investment. It is expected to yield $4,000 at the end of each of the next three years. The interest rate is 5 percent. What is the net present value of the expected revenues from the investment?


A) $8,426
B) $9,947
C) $10,893
D) $12,000

Correct Answer:

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