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5. Boeing Company is considering building a new line of airplanes. The upfront costs of R&D and capital investments will be $505 million. Bocing expects

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5. Boeing Company is considering building a new line of airplanes. The upfront costs of R\&D and capital investments will be $505 million. Bocing expects to generate cash flows of $65 million each year for the next 20 years. Assume the first planes are sold a year from now. Bocing has agreed to provide maintenance and support for the planes that will amount to $5 million a year in perpetuity. Should Boeing undertake this project if the cost of capital is 8%

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