Question: Cliff's Crypto Currency (CCC) is a start-up introducing a new crypto currency trading platform. If successful the platform will be able to be sold for

Cliff's Crypto Currency (CCC) is a start-up introducing a new crypto currency trading platform. If successful the platform will be able to be sold for $25 million in two years; if not, CCC still expects to be able to sell the platform technology for $5 million. The probability of success is estimated at 40% and the required rate of return for firms (or assets) of similar risk is 10%.

What is the value of CCC without leverage?

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