Consider a project with free cash flow in one year of $133.707 or $186,697, with either outcome being equally likoly. The initial inyestment reguitad for the project is 585,000 , and the project's cost of capital is 23%. The risk-free interest rato is 12\%. (Assume no taxes of distress costa) a. What is the NPV of this project? b. Suppose that to raise the funds for the initiat investment, the project is sold to investors as an all-oquity firm. The-oquity hoiders wil receive the cash fiows of the project in one year. How much money can be raised in this way. that is, what is the initial market value of the unlevered equity? c. Suppose the initial 585,000 is instead raised by borrowing at the riskefree interest rate. What are the cash flows of the levered equity, and what is its initial value according to MBM