The following information is available from their projections and they have asked you to calculate the expected NPV of the new surgery center. Cost of Capital is 8%. Capital cost of the new ASC $6 million including the facility and equipment. There is a 15% probability the ASC will generate $1 million cash flow each year for 5 years. Ther is a 75% probability the ASC will generate $2 million cash flow each year for 5 years. There is a 10% probability the ASC will generate $3 million cash flow each year for 5 years.

A. E(NPV) = $1.785 million

B. E(NPV) = $1.932 million

C. E(NPV) = $5.941 million