Odense Counsel has received a proposal to build a new multipurpose outdoor sports stadium. The expected life of the stadium is 20 years and there will be no cost or no value after this. It will be financed with a 20-year loan (8 percent interest rate annually/cost of capital). The stadium's primary tenant will be Odense's football team (OB). In the project proposal, it is anticipated that the site will also be used for rock concerts and college and high school sports. Odense Counsel does not pay any taxes. The costs and estimated revenues are presented next: Cash inflows OB's Lease payment Concerts Rent from local schools 6,500,000 DDK per year 3,500,000 DKK per year 500,000 DDK per year Cash Outflows Construction costs 90,000,000 DKK General maintenance (including labor) 2,400,000 DDK per year Anticipate that maintenance will increase with 2 percent annually Required: 1. Should Odense Counsel build the stadium (assume all payments are made at the end of the year)? 2. OB have threatened to move out of Odense in case the proposal of building the new stadium will not be realized! The Odense Counsel financial controller estimates, that an OB move like this will cost Odense Counsel 2,000,000 DDK per year for the first 10 years (from year 0 to 10) in lost taxes, parking and other fees. Taken this additional information into consideration: Should Odense Counsel build the stadium? State your reasoning