Question: Buzcoin Corp. is working on a project where it has to invest $169,100 in inventory today that will be recovered by the end of the
Buzcoin Corp. is working on a project where it has to invest $169,100 in inventory today that will be recovered by the end of the project in 10 years. If the cost of capital is 11.60%, what is the impact on the NPV of the project? Assume all else remains the same.
a. $0
b. $19,616
c. $56,429
d. -$112,671
e. -$169,100
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