Question 15 1 pts A U.S. firm is investing in a two year foreign project and is concerned about political risk. It forecasts a constant probability of expropriation throughout the life of the project of 9%. It does not expect to receive any cash flows if it does get expropriated. The firm decides to adjust for political risk only in the cash flows. The discount rate for this project is 12%. The firm's cash flows without considering political risk are: Year 0 1 2 Expected Free Cash Flow (Million USD) - 25 15 22 Taking into secount political risk, the NPV of the project in USD is: 0.536 million 1.711 million 0.391 million 0.816 million