Jetson Industries is looking at a particular project that has the following projected cash flow based on the table below. Risk Free Rate 5% Cost of Capital 10% Cost Prob Future Cash Flows Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 NPV Option 1. -$ 95 HIGH 30% $50 $50 -$50* $50 $50 $50 $40.70 Option 2. -$ 95 MED 40% $40 $40 $40 $ 0 $ 0 $ 0 $ 4.47 Option 3. -$ 95 LOW 30% $30 $30 $30 $ 0 $ 0 $ 0 $(20.39) *Notes: The Year 3 CF includes the cost of the project if it is optimal to replicate. Calculate the Expected NPV for the project::

$ 24.78

$ 7.95

$ 9.96

$ 40.70