Question: A project costs $100 today, generates a level cash flow of $25 starting in one year and continuing in annual increments forever. Investors have a

A project costs $100 today, generates a level cash flow of $25 starting in one year and continuing in annual increments forever. Investors have a 5% cost of capital. What is the NPV of this project?

		Less than $100
		Between $100 and $200
		Between $200 and $300
		More than $300

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