You are evaluating an investment with a purchase price (outflow) of $100 today. However, you expect a $120 inflow at the end of each of the next 2 years. Assuming 5% nominal rate, compounded annually, the net present value of these cash flows (as of year O) is closest to?

Answer rating: 100% (QA)

Identify the cash flows Initial investment Year 0 100 outfl... View the full answer