Question: Consider a project that will generate revenues at the ned of the first and second years. Initial costs and expenses are $3000. In addition, the

Consider a project that will generate revenues at the ned of the first and second years. Initial costs and expenses are $3000. In addition, the projects cost of capital is 7%.

You are given the following information.

Scenario	1	2	3	4
First Year Revenues	$1100	$1500	$1800	$1200
Second Year Revenues	$2900	$2500	$2200	$2800

Determine the projects net present value of the worst scenario.

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