For Questions $6$ through $10$ use the following information to answer the questions.

You are considering whether to launch a new product $($i$.$e$.,$ the project$)$ and want to determine the financial feasibility. If you undertake the project, you will initially need to invest $$15$ million in up$-$front capital on the first day to launch the project. From operating the project, the project is expected to generate end$-$offirst$-$year net cash flow of $$3$ million, growing $11\mathrm{.}5\%$ annually for the next four years in end$-$of$-$year net cash flow $($i$.$e$.,$ from end$-$of$-$years $2$ through $5).$ You will finance the project with a combination of debt and equity and your $($weighted average$)$ cost to finance the initial capital is $7\mathrm{.}5\%.$

Question $6.$ From a financial feasibility perspective only, the company should accept this project. $($This question is worth $1$ point$)$

Question $6$ True$/$False

Question $7.$ Undertaking this project will add $$31,250$ in value to the company. $($This question is worth $1$ point$)$

Question $7$ True$/$False

Question $8.$ The cost of capital to finance this project is what investors want the company to pay to use investor capital to finance the project. $($This question is worth $1$ point$)$

Question $8$ True$/$False

Question $9.$ The cost of equity capital to finance this project is called the required rate of return for equity investors and is called the interest rate for debt lenders. $($This question is worth $1$ point$)$

Question $9$ True$/$False

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Question $10.$ The table below illustrates one way to calculate end of year net cash flows from years $2$ to $5$ based on an $11\mathrm{.}5\%$ annual growth rate. $($This question is worth $1$ point$)$

$\backslash$table$[[$Net Cash Flow $("$NCF$")$ Annual Growth Rate,,$11\mathrm{.}50\%,,$Given$],[$Net Cash Flow End of Year $1,$$$,3,000,000,\backslash$table$[[$Numerator Formula$],[=$ NCF End of Year $1]],$Given$],[$Net Cash Flow End of Year $2,$$$,3,345,000,=$ NCF End of Year $1(1+0\mathrm{.}115),$Calculate$],[$Net Cash Flow End of Year $3,$$$,3,729,675,=$ NCF End of Year $2(1+0\mathrm{.}115),$Calculate$],[$Net Cash Flow End of Year $4,$$$,4,158,588,=$ NCF End of Year $3(1+0\mathrm{.}115),$Calculate$],[$Net Cash Flow End of Year $5,$$$,4,636,825,=$ NCF End of Year $4(1+0\mathrm{.}115),$Calculate$]]$

Question $10$ True$/$False