Hello, I need some assistance with answering this question, especially with part C at the bottom of the page. Thank you so much.

I"- Consider a project with free cash ow in one year of $1 33,904 or $1 33,139, with either outcome being equally likely. The initial investment required for the project is $95,000, and the project's cost of capital is 21%. The riskfree interest rate is 11 %. (Assume no taxes or distress costs.) a. What is the NPVof this project? b. Suppose that to raise the funds for the initial investment, the project is sold to investors as an all-equity rm. The equity holders will receive the cash ows ofthe project in one year. How much money can be raised in this waythat is, what is the initial market value of the unlevered equity? c. Suppose the initial $95,000 is instead raised by bonowing at the riskfree interest rate. What are the cash ows of the levered equity, and what is its initial value according to MEN? a. What is the NP'v'of this project? The NPV is $ 380??) . (Round to the nearest dollar.) b. Suppose that to raise the funds for the initial investment, the project is sold to investors as an all-equity rm. The equity holders will receive the cash ows ofthe project in one year. How much money can be raised in this waythat is, what is the initial market value of the unlevered equity? The initial market value ofthe unlevered equity is S 1330?6 . [Round to the nearest dollar.) c. Suppose the initial $95,000 is instead raised by borrowing at the riskfree interest rate. What are the cash ows of the levered equity, and what is its initial value according to MEN? The cash flows of the levered equity and the initial market value of the levered equity according to MELM is: [Round to the nearest dollar.) Date 0 Date 1 Initial 'v'alue Cash Flow Strong Economy Cash Flow Weak Economy Debt $95,000 3 $ Levered Equity $ 3 $