What is net present value of this decision

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A manufacturer of video games develops a new game over two years. This costs $ 800000 per year with one payment made immediately and the other at the end of two years. When the game is released, it is expected to make $ 1.50 million per year for three years after that. What is the net present value (NPV) of this decision if the cost of capital is 8 %?

Reference no: EM132045273

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