Question: Can someone please help me with practice questions. I keep messing it up somewhere along the way. An auto plant that costs $50 million to

 Can someone please help me with practice questions. I keep messing

Can someone please help me with practice questions. I keep messing it up somewhere along the way.

it up somewhere along the way. An auto plant that costs $50

An auto plant that costs $50 million to build can produce a new line of cars that will produce net cash flow of $40 million per year it the line is successful, but only $85 million per year it it is unsuccessful. You believe that the probability of success is about 55 percent. The auto plant is expected to have a life of 14 years and the opportunity cost of capital is 9 percent. What is the expected net present value of building the plant? Please state your answer in millions and in 2 decimal places. Number million

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