Problem 6 Intro You are thinking of buying a startup for $40 million. The company will generate free cash flows of $6 million per year forever. You can take out an interest-only loan with an interest rate of 6%. The loan does not require any principal repayments and will go on forever. The weighted average cost of capital is 14% and the tax rate is 21% IB Attempt 1/10 for 10 pts Part 1 What is the NPV of buying the startup (in Smillion)? Correct NPV = FCF. + - 40 + olla = 2107 million) Part 2 Attempt 4/10 for 10 pts How much of the $40 million should you borrow to achieve an internal rate of return of 22% on your equity investment? 1+ decimals Submit Part 3 Attempt 1/10 for 10 pts How much of the S40 million should you borrow to achieve an internal rate of return of 80% on your equity investment? 1. decimals Submit