The management of Tausi Limited is evaluating an investment project that has a life of 3 years. The project would involve initial investment of Sh 10 million. The expected net cash flows and related probability are given below. (b) Year l Year 2 Year 3 Cashlow Probability Cashflow Probability Cashflow Probability 3,000,000 0.3 0.7 3,000,000 5,000,000 2,000,000 0.5 4,000,000 0.5 0.3 6,000,000 0.5 0.2 7,000,000 Cashflows of each year are independent from cashflows of other years. The company uses a discount rate of 15%. Required: Q Calculate the expected net present value of the project. (i) What is the best possible outcome? What is its probability?(2 marks) (12 marks) (Total: 25 marks)