II. (15 marks) A project has an expected risky cash flow of $500 in years 1,2 and 3 . The risk-ffree rate is 4 percent, the expected market rate of return is 14 percent, and the project's beta is 1.20 (A) Calculate the certainty equivalents cash flow for years 1,2 and 3 (CEQ). (B) What is the difference between the CEQs and the PVs of the year 1,2,3 risky cash flows? =4%+1.20(14%40/0)