What is the npv

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You can buy a piece of land for $1M. You think you will be able to sell it to a developer in about five years for twice that amount. Assume the cash flows in the interim years are $0. You think an investmennt with this much risk requires an unexpected return of in the range of 12% to 14% per year. What is the NPV?

Reference no: EM131970880

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