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12. Epsilon Corp. is evaluating an expansion of its business. The cash-flow forecasts for the project are as follows: Years 0 1 2 3 4
12. Epsilon Corp. is evaluating an expansion of its business. The cash-flow forecasts for the project are as follows: Years 0 1 2 3 4 5 6 7 8 9 10 Cash Flow ($millions) -250 53 53 53 53 53 53 53 53 53 53 The firm's existing assets have a beta of 1.2. The risk-free interest rate is 3% and the expected return on the market portfolio is 12%. What is the project's NPV
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