6. MADA, Inc., needs to purchase office equipment for its 2,000 drive-in therapy centers nationwide. The initial cost of the equipment is $2 million. It is estimated that the after-tax cash inflows from the project will be $210,000 annually forever. MADA has a capital structure which consists of 40 percent debt and 60 percent equity, based on market values. The firm's cost of equity is 13 percent, and its pre-tax cost of debt is 8 percent. The tax rate is 35 percent. What is the net present value of the project if the project's risk level is equal to that of the overall firm? a. 142,008 b. $132,500 C. $103,600 d. $157,008 e. 120,008 6. MADA, Inc., needs to purchase office equipment for its 2,000 drive-in therapy centers nationwide. The initial cost of the equipment is $2 million. It is estimated that the after-tax cash inflows from the project will be $210,000 annually forever. MADA has a capital structure which consists of 40 percent debt and 60 percent equity, based on market values. The firm's cost of equity is 13 percent, and its pre-tax cost of debt is 8 percent. The tax rate is 35 percent. What is the net present value of the project if the project's risk level is equal to that of the overall firm? a. 142,008 b. $132,500 C. $103,600 d. $157,008 e. 120,008