Sayonara Electric Power Company (SEPCO) is exploring a project to build a nuclear power generator. It will take five years to build and the cost will be 50 billion yen, to be paid for in five equal annual installments of 10 billion yen, beginning from the date of project launch. When completed, the electricity generated by that plant will generate 6 billion yen of net revenue for 40 years, after which the generator must be shut down. ISEPCO assumes that its cost of capital is 10% per annum.

Should SEPCO go ahead with the project? Yes or No?

Explain briefly whether your conclusion would change under the additional assumption that the decommissioning/dismantling of the generator will cost 60 billion yen