Breakeven cash inflows and risk Boardman Gases and Chemicals is a wppler of highly purifed gasos to semiconductor manufacturers. A large chip producer has asked Boardman to buld a new gas production faolity olose to an existing semiconductor plant. Once tho new gas plant is in place, Boardman wil be the oxelusive supplior for that somiconductor fabrication plant for the subsequent 10 years. Boardman is considering one of two plart designs. The ferst is Boardman's "standerd" plant which wil cost $39.2 milion to buld. The second is for a "custom" plant which will cost $54.2 millon to buld. The custom plant will allow Boardman to produce the highly specialized gases regurod for an emergency semiconductor emanutocturing process. Boartman estimabes that its dient will ordor $12.4 millan of product per year if the standart plant is constructed, but if the castom design is put in place, Boardman eupects to sel $16.7 milion worth of product arrualy to its client. Boardman has enough money to build either bype of plart, and, in the abnence of risk aklorences, accopts the projoct with the highest NPV. The cest of capital is 17.3%. a. Find the NPV for each project. Are the projocts acceptable? b. Find the breahever cash infow for each projoct c. The firm han estimated the probatilites of achieving virious ranges of cash inflows for the two projocts, as ahown in the table What is the probablity that each project wil achicve the breakeven eash inflow found in part (b)? d. Which project is more risky? Which project has the potentialy higher NPY? Dicuss the risk-retum trade-cels of the two projects. e. If the fim wished to minimice losses (that is, NPV