Ellmann Systems Is Considering a Project That Has the Following $\begin{array}{lccc}r& 9.00\%\\\text { Year: } &0& 1 & 2 & 3 \\ \text { FCF: } & -\$ 1000 & \$ 500 & \$ 500& \$ 500\end{array}$

Ellmann Systems is considering a project that has the following cash flow and cost of capital (r) data. What is the project's NPV? Note that if a project's expected NPV is negative, it should be rejected. $\begin{array}{lccc}r& 9.00\%\\\text { Year: } &0& 1 & 2 & 3 \\ \text { FCF: } & -\$ 1000 & \$ 500 & \$ 500& \$ 500\end{array}$

A) $265.65
B) $278.93
C) $292.88
D) $307.52
E) $322.90

Correct Answer:

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