Two-year zero-coupon treasury

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You have a project that will produce risk-free cash flows of $400 one year from today and $500 in two years. The project will cost $800 to take. There is a one-year treasury that costs $95 today and pays out $100 in one year. There is also a two-year zero-coupon treasury that pays out $100 two years from now, which costs $85 today. What is the NPV of the project?

Reference no: EM131894129

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