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Edmondson Electric Systems is considering a project that has the following cash flow and WACC data. What is the project's NPV? Note that if a project's projected NPV is negative, it should be rejected.

WACC: 10.00%

Year: 0 1 2 3

Cash flows: -$1000 $500 $500 $500

Answer

A. $268.38

B. $243.43

C. $281.80

D. $295.89

E. $255.60

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