I actually figured that one out! so I was wondering if you can help with this one instead.

All American Tetephones inc. is considering the prodaction of a new cell phone. The project will require an investment of $14 million. If the phone is well received, the project will produce cash flows of $8 million a year for 3 years, but if the market does not like the product, the cash flows will be only $1 mullion per year. There is a 50% probability of both pood and bad market conditions. All American can delay the project a vear while it conducts a test to determine whether demand will be strong or weak: The delay will not affect the dollar amounts involved for the groject's investment or its cash flows-only their timing, Becouse of the anbopated shifs in technology, the 1year delioy means that cash flows will continue only 2 years after the initial investment is made. All Amencan's WACC is 9%. The data has been collected in the Microsolt Excel Online file below. Open the spreodsheet and perform the required analysis to answer the question below. Open spreadsheet What action do you recommend? Do not round intermediate caiculations, Round your answers to the nearest dollar. Use a minus sign to enter negative values, if any. NPV without watting: $ 3 NPV of wating 1 year: $ You recommend annual cash llows for the project under good conditions will be $50,000 and $11,000 under bad conditions. The firm believes that there is a 60% chance of good conditions and a 40% chance of bad conditions. If the firm is using a weighted average cost of capital of 13%, the expected net present value (NPV) of the project is your answer to the neorest whole dotlar.) Hack Welington Co wants to take a potential growik opton unto account when calculating the project's expected Nip will be able to invest $4,000 in veur 2 to generate an additional cosh flow of $14,000 in year 3 . If condetions are bad furcher anvesuments in the prosect. Using the information from the preceding problem, the expected wiv of this project - when taking the growth option (Note: Roand your answer to the nearest whole doller.). Hock Wellington Co.S growth opuen is worth (Note: Round your answer to the nestest whole dollar.) Hack Wellington Co, is considering a three-year project that will require an initial investment of $30,000. It has estimated that the annual cash llows for the project under good conditions will be $50,000 and $11,000 under bad conditions. The firm believes that there. is a 60% chance of good conditions and a 40% chance of bad conditions. If the firm is using a weighted average cost of capital of 13%, the expected net present value (NPV) of the project is (Note: Round your aniswer to the nearest whole doltar.) Hack Wellington Co. Wants to take a potentas $3,351 ption into account when calculating the project's expected NFV. If conditions are good, the firm wil be able to invest $4,000 in year 2 to geo $3,942 Jditional canh flow of $14,000 in vear 3. . Af conditions are bad, the firm wil not make any further investrients in the project. (Note: Round your answer to the nearest wl $3,154 Hack Wellington Cois growth option is worth (Note: Round your answer to the nearest whale dollas.) Hack Wellington Co, is tonsidering a three year project that will require an initial investment of $30,000. It has estimated that the annual cash flows for the project under good conditions will be $0,000 and $11,000 under bad conditions. The firm beheves that there is a 60% chance of good conditions and a 40% chance of bad conditions: If the firm is using a weighted average cost of capital of 13%, the expected net present value (NPV) of the project is your answer to the nearest whole dollar.) Hack Wellington Co, wants to take a potential growth option into account when calculating the project's expected NPV. If conditions a will be able to invest $4,000 in vear 2 to generate an additional cash flow of $14,000 in year 3 , If conditions are bad, the firm will no further investments in the project. \begin{tabular}{|l|} Note: Round \\ \hline 568,958 \\ \hline 555,166 \\ \hline 50, firm \\ \hline \end{tabular} Using the information from the preceding probiem, the expected NPV of this project- when taioing the growth option into account-is (Note: Pound your answer to the nearest whole dollas.) Hack Wellington Co:'s growth option is worth (Note: Round your anwwer to the nearest whaiedoliar). All American Tetephones inc. is considering the prodaction of a new cell phone. The project will require an investment of $14 million. If the phone is well received, the project will produce cash flows of $8 million a year for 3 years, but if the market does not like the product, the cash flows will be only $1 mullion per year. There is a 50% probability of both pood and bad market conditions. All American can delay the project a vear while it conducts a test to determine whether demand will be strong or weak: The delay will not affect the dollar amounts involved for the groject's investment or its cash flows-only their timing, Becouse of the anbopated shifs in technology, the 1year delioy means that cash flows will continue only 2 years after the initial investment is made. All Amencan's WACC is 9%. The data has been collected in the Microsolt Excel Online file below. Open the spreodsheet and perform the required analysis to answer the question below. Open spreadsheet What action do you recommend? Do not round intermediate caiculations, Round your answers to the nearest dollar. Use a minus sign to enter negative values, if any. NPV without watting: $ 3 NPV of wating 1 year: $ You recommend annual cash llows for the project under good conditions will be $50,000 and $11,000 under bad conditions. The firm believes that there is a 60% chance of good conditions and a 40% chance of bad conditions. If the firm is using a weighted average cost of capital of 13%, the expected net present value (NPV) of the project is your answer to the neorest whole dotlar.) Hack Welington Co wants to take a potential growik opton unto account when calculating the project's expected Nip will be able to invest $4,000 in veur 2 to generate an additional cosh flow of $14,000 in year 3 . If condetions are bad furcher anvesuments in the prosect. Using the information from the preceding problem, the expected wiv of this project - when taking the growth option (Note: Roand your answer to the nearest whole doller.). Hock Wellington Co.S growth opuen is worth (Note: Round your answer to the nestest whole dollar.) Hack Wellington Co, is considering a three-year project that will require an initial investment of $30,000. It has estimated that the annual cash llows for the project under good conditions will be $50,000 and $11,000 under bad conditions. The firm believes that there. is a 60% chance of good conditions and a 40% chance of bad conditions. If the firm is using a weighted average cost of capital of 13%, the expected net present value (NPV) of the project is (Note: Round your aniswer to the nearest whole doltar.) Hack Wellington Co. Wants to take a potentas $3,351 ption into account when calculating the project's expected NFV. If conditions are good, the firm wil be able to invest $4,000 in year 2 to geo $3,942 Jditional canh flow of $14,000 in vear 3. . Af conditions are bad, the firm wil not make any further investrients in the project. (Note: Round your answer to the nearest wl $3,154 Hack Wellington Cois growth option is worth (Note: Round your answer to the nearest whale dollas.) Hack Wellington Co, is tonsidering a three year project that will require an initial investment of $30,000. It has estimated that the annual cash flows for the project under good conditions will be $0,000 and $11,000 under bad conditions. The firm beheves that there is a 60% chance of good conditions and a 40% chance of bad conditions: If the firm is using a weighted average cost of capital of 13%, the expected net present value (NPV) of the project is your answer to the nearest whole dollar.) Hack Wellington Co, wants to take a potential growth option into account when calculating the project's expected NPV. If conditions a will be able to invest $4,000 in vear 2 to generate an additional cash flow of $14,000 in year 3 , If conditions are bad, the firm will no further investments in the project. \begin{tabular}{|l|} Note: Round \\ \hline 568,958 \\ \hline 555,166 \\ \hline 50, firm \\ \hline \end{tabular} Using the information from the preceding probiem, the expected NPV of this project- when taioing the growth option into account-is (Note: Pound your answer to the nearest whole dollas.) Hack Wellington Co:'s growth option is worth (Note: Round your anwwer to the nearest whaiedoliar)