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A two-period project has the following probabilities and cas

Paper help Economics A two-period project has the following probabilities and cas

Economics

A two-period project has the following probabilities and cas

A two-period project has the following probabilities and cash flows: The discount rate is 7% and the… Show more A two-period project has the following probabilities and cash flows: The discount rate is 7% and the initial investment is $1000. How much is the expected NPV of this project? Probability Cash Flow Period 1: 10/3% 400 90% 500 20/3% 700 Period 2: 5% 300 5% 500 90% 700 • Show less

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