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1 Honda is considering an entry into the light jet manufacturing industry. This new project HondaJet being a % to the company's overall cost of

1 Honda is considering an entry into the light jet manufacturing industry. This new project "HondaJet" being a % to the company's overall cost of capital when evaluating this project. Honda is considering an equity offer percent debt and 60 percent equity. The company's cost of equity and after-tax cost of debt are estimated a mill. What is the projected NPV of the "HondaJet" project? use wacc + 2.5% as discount rate. The CFO will include equity and debt financing (40% debt and 60% equity. As such 60% of CF0 = 200 use the Cashflow worksheet of your calculator. OA. $197 million approx O B. $108 million approx O C. $124 million approx O D. $248 million approx O E. none of the other choices

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