Question: ( Chapter 6 ) Lesters has a new project with projected real cash flows of $12,200, $14,600, and $16,300 for Years 1 to 3, respectively.

(Chapter 6) Lesters has a new project with projected real cash flows of $12,200, $14,600, and $16,300 for Years 1 to 3, respectively. The nominal discount rate is 15.85 percent and the inflation rate is 4 percent. What is the net present value of the project if the initial cost is $25,000? (Choose closest answer if necessary)

Group of answer choices

$9,711.64

$8,946.48

$9,513.03

$9,444.15

$9,248.74

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