CHAPTER 9 BUSINESS NVESTM BI1. (NPV) Bill Scott estimates that a project will involve an outlay of $125,000 and will return $40,000 per year for six years. The required return is 12% a. What is the NPV using Bill's estimates? b, David Scott is less optimistic about the project. David thinks the outlay will be 10% higher, the annual cash flows will be 5% lower, and the project will have a five-year life. David does agree with Bill's required return. What is the NPV using Davids estimates