A company would need a $10 million upfront investment in order to launch a new product. Once the product is launched, it will generate a before tax free cash flow of $500,000 the first year, and this free cash flow is expected to last forever. We also know that this company has an equity cost of capital of 10%, a debt cost of capital of 5%, and a tax rate of 30%. Please answer the following 2 questions : Assuming that the company maintains a constant debt to equity ratio of 30% debt to 70% equity what is the NPV of the new product? Based on the NPV, explain if you think the company should move ahead with this investment or not