A firm is considering a project that requires investments at time 0 and time 1. The susbequent expected cash flows (starting at time 2) will continue in perpetuity. The magnitude of these perpetual cash flows depends on demand, which can take on one of three values with probabilities as given. 0 1 .. 2 35 3 35 4 35 Prob. 40% Demand High -100 -110 15 15 15 ... 40% Medium 5 5 5 ... 20% Low What are the expected cash flows of the project at time 0-5? 0 1 2 3 CF 4 .80 1 point each What is the NPV of the project at the discount rate given below? (Use this rate for all calculations in this problem.) r 10% NPV 2 points