Growth Option: Option Analysis franchise to sell the wigs is $20,000. If demand is good ( 40% probability), then the net cash flows will be $25,000 per year for 2 years. If demand is bad 60% probability), then the net cash flows will be $5,000 per year for 2 years. Fethe's cost of capital is 10%. a. What is the expected NPV of the project? Round your answer to the nearest dollar. $ of $20,000. In this case, the cash flows that occurred in Years 1 and 2 will be repeated (so if demand was good in Years 1 and 2 , it will continue to be good risk-free rate is 7%. Do not round intermediate calculations. Round your answers to the nearest dollar. Use computer software packages, such as Minitab or Excel, to solve this problem. Value of the growth option: $ Value of the entire project: $