DTT Inc is considering an investment into another product line that is closely related to the firm's current business. The product line will require a $40 million investment in assets, all of which will be depreciated to zero (straight line) over the products expected 10 year life. The assets should have a salvage value of $4 million at the end of the project. The firm expects the investment to increase sales by $15 million per year and increase expenses by $6.8 million per year, starting 1 year from today. What is the WACC for DTT Inc, and the NPV of this project given the following additional information?

DTT has a Debt/Equity ratio of 0.64.

DTT has 1 debt issue outstanding with coupon rate of 12% and yield to maturity of 9.5%

DTT equity has a beta = 1.13

The risk-free return is currently 3.5% and the expected return on the market portfolio is 12.5%

DTT's marginal tax rate is 28%

Please attach a file that clearly shows calculations for (A) the WACC for DTT Inc., and (B)the NPV of the investment. Please highlight your final answers in red so I can find it easily!