An independent film maker is considering producing a new movie. The initial cost for making this movie will be $10 million today. Once the movie is completed, in two years, the movie will be sold to a major studio for $15 million. Rather than paying for the $10 million investment entirely using its own cash, the film maker is considering borrowing $5 million from the bank at the risk-free interest rate. Suppose the cost of capital for the new movie is 10% and the risk-free rate of interest is 5%. What is the NPV of this project if the film maker invests his own money? What is the NPV if the film maker borrows $5 billion from the bank? $2.4 million; $3.6 million $1.7 million; $1.7 million $2.4 million; Not enough information to answer $2.4 million; $2.4 million