a. What is the NPV of the opportunity if the cost of capital is 6.2% per year? Should you take the opportunity? b. What is the NPV of the opportunity if the cost of capital is 2.2% per year? Should you take it now?

You run a construction firm. You have just won a contract to build a government office complex. Building it will require an investment of $9.7 million today and $4.8 million in one year. The government will pay you $21.5 million in one year upon the building's completion. Suppose the interest rate is 10.8%. a. What is the NPV of this opportunity? b. How can your firm turn this NPV into cash today