QUESTION 20 Last month, Smith Systems Inc. decided to accept the project whose cash flows are shown below. However, before actually starting the project, the Bank of Canada took actions that lowered interest rates and therefore Smith's WACC. By how much did the change in the WACC affect the project's forecasted NPV? Assume that the Bank of Canada's action does not affect the cash flows. New WACC: 8.00% Old WACC: 11.00% Year: 0 1 2 .3 Cash flows: $1,000 $500 S500 $500 a. $63.36 b. $60.19 C. $57.18 d. $66.69