You are considering opening a new plant. The plant will cost $$100\mathrm{.}1$ million upfront. After that, it is expected to produce profits of $$29\mathrm{.}8$ million at the end of every year. The cash flows are expected to last forever.

Calculate the NPV of this investment opportunity if your cost of capital is $7\mathrm{.}1\%.$

The NPV of this investment opportunity is $enter your response here million. $($Round to one decimal place.$)$

Should you make the investment?

A$.$ No$,$ because the NPV is not greater than the initial costs.

B$.$ No$,$ because the NPV is less than zero.

C$.$ Yes, because the project will generate cash flows forever.

D$.$ Yes, because the NPV is positive.

Calculate the IRR and use it to determine the maximum deviation allowable in the cost of capital estimate to leave the decision unchanged.

Calculate the IRR and use it to determine the maximum deviation allowable in the cost of capital estimate to leave the decision unchanged.

The IRR of the project is enter your response here$\%.($Round to two decimal places.$)$

The maximum deviation allowable in the cost of capital is enter your response here$\%.($Round to two decimal places.$)$