Question 5 ABC Co has a target debt ratio of 40% and it keeps this target The cost of equity 1510% and the cost of debt is 4%. It is considering expanding its business and requires $1mili ion investment. After expansion, ABC expects additional free cash flows of $0.2 millon per year in perpetuity. ABC decides to issue equity to finance this expansion. The equity issuance cost is 5%. The corponte tax rate is 30%. Assume that ABC will maintain the target debt ratio. What's the NPV of the expansion project