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You are a consultant to a large manufacturing corporation considering a project with the following net after-tax cash flows (in millions of dollars): Years from

You are a consultant to a large manufacturing corporation considering a project with the following net after-tax cash flows (in millions of dollars):

Years from NowAfter-Tax CF0-361-9121024

The project's beta is 1.5. Assumingr_f= 4%andE(r_M) = 12%

a.What is the net present value of the project?(Do not round intermediate calculations. Enter your answer in millions rounded to 2 decimal places.)

b.What is the highest possible beta estimate for the project before its NPV becomes negative?

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