Riring company is considering a new project. Because the mine his received a permit, the project would be iegal; blit it would cause significant harm to a nearby niver. The flimi initiai oufiay of 169 million, and the expected cash inflows woold be 323 milion per year for 5 years. if the fint does invest in mutigation, the annual inflews would be 124 milingr e risk-adjusted WACC I 14% a. Calculate the NPV and 1PR with mitigation. Enter your answer for Nov in mililans, For example, an answer of 510,550,000 should be entered as 10.55. Do not round intermediate calculations, found your answers to two decimal places. NPV: 1 milian 12R: Calculate the NPV and IRR without mitigation. Entec your answer far NPV in millions, For example, an answer of $10,550,000 should th entered as in.s5. Do not round intermediate calculations. Round your anseers to two decimal piaces. NPV: 5 IRRA: b. Herlion should the ecwironmentas effects be Gealt with when this project is evalosted? Therefore, even thoogh the mine is legal wathout mitigation, the company needs to make sure that ther have antielpated all costs in the "eno mibigation" analyss frem not doing the ewirenmental mitigation. I1. The efwironenental tffects should be ignored since the mine is legal aithout mitigation. III. The efivironmental effects should be treated as a sunk cost and therefore ignored. TV. Tho environmental effects if not mitigated would result in additional cash fows. Therefore, since the mine is legal without mitigation, there art no benefts to performing a "no mitigation" aralysis. V. The environmental elfects shedid be treated as a romote possibitity and thould setiy be considered at the time in which they actually acrur. Gi should this project be undertaken? If so, should the fime do the mitigation? 1. Uncer the assumplion that all costs have been considered, the comosny would not mitigate for the environmental impact of the project sitice its ipes without mingevion is greater than its tape whien matigation costs are included in the analysis. is greoter than its NPy when mogation costs are not inedided in the ansyois. III. Under the assumption that all cous have been contidered, the compaty would not mitigate for the enviranmental impact of the project ainat its NeN withaut