Baxter, Inc is considering an investment opportunity that requires an initial investment of $$100,000$ and will generate a risk$-$free cash flow of $150,000$ in one year. Baxter has $1$ million of debt due next year. Without the project value of Baxter$$s assets is expected to be $$900,000$ in one year.

a$)$ Would Baxter pursue the project? Explain, perform necessary computations.

b$)$ What would be your answer to question a$)$ if Baxter owed only $$400,000$