Question: Using the 10% cost of capital, what is the project's NPV if it is operated for the full 3 years? Would the NPV change if the company

Year   Initial Investment and Operating Cash Flows            End-of-Year Net Salvage Value

 0        −$5,000                                                                   $5,000

1            2,100                                                                     3,100

2            2,000                                                                     2,000

3            1,750                                                                     0