Acme is considering building an office building and selling it in the future.
They forecast:
At t=0 it will cost them $700,000 to buy the land
At t=1 it will cost them $300,000 to develop
At t=2 it they will sell it for $2,000,000 and pay 8% of the sale price in selling expenses.
If ACME's annual required rate of return is 50% their NPV is
(include minus sign-)
Do you recommend they invest in this building?
(answer "yes" or "no")
(do not use commas or dollar signs, round two decimal places, if negative,