A company is currently considering two options. The first is a small facility that it could build at a cost of 58 million i demand for new products is low, the company expects to receive $9 million in discounted revenues (present value of future revenues with the small facility On the other hand, if demand is high it expects $11 million in discounted revenues using the small facility. The second option is to build large factory at a cost of $10 million. Were demand to be low, the company would expect $11 million in discounted revenues with the large plant. If demand is high the company estimates that the discounted revenues would be $15 million. In either case, the probability of demand being high is 040, and the probability of it being low is 0,60. Not constructing a new factory would result in no additional revenue being generated because the current factories cannot produce these new products

a. Calculate NPV for the following

Small facility ______ million

Do nothing ______ million

Large facility _______ million