ABC Corp. is a manufacturing company that produces industrial machinery. The company is considering investing in a new project that requires an investment of 10 million. The expected cash flows from the project are as follows:

Year 1: 3 million

Year 2: 4 million

Year 3: 5 million

Year 4: 6 million

ABC Corp. currently has a cost of debt of 7% and a cost of equity of 15%. The company's capital structure consists of 60% debt and 40% equity. The tax rate is 30%.

Questions:

1. What is the weighted average cost of capital (WACC) for ABC Corp.?

2. What is the net present value (NPV) of the project?

3. Should ABC Corp. invest in the project?