Question: You are considering a project that has been assigned a discount rate of 14.3 percent. If you start the project today, you will incur an

 You are considering a project that has been assigned a discount
rate of 14.3 percent. If you start the project today, you will

You are considering a project that has been assigned a discount rate of 14.3 percent. If you start the project today, you will incur an Initial cost of $11,400 and will recelve cash inflows of $6,800 a year for two years. If you wait one year to start the project, the initial cost will rise to $12,100 and the cash flows will increase to $7,200 a year for two years. What is the value of the option to wait? Multiple Choice $28.51 $30.49 $9.46 $33.02 $7.63

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