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Assume Ford Motors expects a new hybrid-engine project to produce incremental cash flows of $40 million each year, and expects these to grow at 4%

image text in transcribed Assume Ford Motors expects a new hybrid-engine project to produce incremental cash flows of $40 million each year, and expects these to grow at 4% each year. The upfront project costs are $380 million and Ford's weighted average cost of capital is 10%. If the issuance costs for external finances are $15 million, what is the net present value (NPV) of the project? A. $245 million B. $299 million C. $285 million D. $272 million

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