Chapter 4 Problem 2: A pet owner has a mixed breed beagle jack-Russell terrier mix rescue dog. She estimates the cost of pet ownership for 13 years: Initial cost to rescue: $100 Vet fees $250 per year Food costs $1100 per year Miscellaneous costs $200 per year As the dog ages, she will require special food starting in year 7 through 13, increasing the cost of food by 5% each year. As the dog ages, the vet fees will increase by $250 each year starting in year 10 through 13.

a) Calculate the NPV?