EZ-Pro, Inc. has the opportunity to engage in a 5-year marketing agreement with a Chilean distributor. The license fee it must pay is $45 million. In exchange, it will have the opportunity to earn after-tax cash flows of $11.3 million annually for the life of the agreement. The company will finance the opportunity using the same capital structure (debt-to-total capital ratio) that it has today, which management also considers EZ-Pro's target capital structure. These are the relevant data for EZ-Pro: Shares outstanding: 10.5 million Current price per share: $12.50 per share Bonds outstanding: $21.0 million @ 7% Stock beta: 1.15 Treasury Bill rate: 2.5% Current Market Risk Premium 6.0% Tax Rate: 21% (a) What is the NPV of the project for EZ-Pro? (b) EZ-Pro's main competitor, MultiStar, is also in talks with the same Chilean distributor. MultiStar is identical in all regards to EZ-Pro with one exception: MultiStar's levered stock beta is 0.93. What is the NPV of the project for MultiStar? Since it is exactly the same project, why does MultiStar reach a different conclusion than EZ-Pro? (To show the difference you will have to complete an NPV analysis as you did for Part (a).)