An investment project for the Tribble Manufacturing Co. costs $3,000 now and will return $2,000 at the end of each of the next two years. If the annual interest rate is 10%:
- Tribble Manufacturing Co. cannot make a decision on the project without knowing the inflation rate.
- the net present value is $971.
- Tribble Manufacturing Co. should not invest in the project.
- Tribble Manufacturing Co. should invest in the project.