A project requires an investment today. There will be yields after one and after two years. Today's investment is CHF150,000. The yield are CHF 50,000 after one and CHF 102,000 after two years.
Compute the net present value of this project in dependance of the interest rate p.
I am struggling with this question, I have the solution from my math teacher and I understand that this has to do with the PV formula but I don't see how to complete the task. Please, explain the manipulations step-by-step if you can! thanks!
$$ NPV (p)=-150,000+\frac{50,000}{1+p}+\frac{102,000}{(1+p)^2}+ $$