Question: 4) Answer next two questions based on following information. The project defined by the following decision tree has a required discount rate of 17 percent.

4) Answer next two questions based on following information. The project defined by the following decision tree has a required discount rate of 17 percent. Cash Flow After Tax Invest $100.000.000 Success Year's 2-3 $66.000.000/year Do Not Invest NPV = $0 Test Cost $20.000.000 Failure NPV = 5-20,000,000 Do not test 4-1) What is the Time 1 net present value of the project when the test turns out to be success? 4-2) What is the Time 0 net present value of a successful test and investment

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