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6 . ( 3 points ) Suppose Apple is considering expanding its product line to include the new electric car, iCar. The decision to expand

6.(3 points) Suppose Apple is considering expanding its product line to include the new electric car, iCar. The decision to expand will require $20,000,000,000 to build new plants, sales centers, and a nationwide sales team. The company estimates it will generate $300,000,000 in sales in the first 5 years, followed by sales of $1,500,000,000 for the next 7 years, and $2,000,000,000 for 13 years after that. However, during each year operating costs will be 30% of sales. In addition, every 10 years the firm will need to spend $65,000,000 to update its facilities. If the firms required rate
of return is 16.50%, Compute the NPV of the project. Show your work. Round to the nearest $0.01.

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