Just Question 3 please!!! I know we can only ask one question-- I included question 2 because it is relevant for question 3. Please show work if possible.

Question 2 and 3: Consider the following data on Forster Co. Forster Co. Market Value Balance Sheet ($ Millions) Assets Liabilities Cost of Capital Cash 50 Debt 250 Debt 6% Other Assets 500 Equity 300 Equity 12% Tax rate 20% Forster Co.'s New Project Free Cash Flows (Millions) Time 0 1 2 Free Cash Flows $ 80 $50 $60 Question 2 (2 point): Assume that the new project has the average risk of Forster Co. assets. Assume that Forster Co. expects to maintain its debt to equity ratio constant. What is the NPV of the new project? a. $ 15.54 million b. $15.95 million c. $ 16.24 million d. $ 16.74 million e. $ 17.25 million Screen Shot 2021-04-08 at 1... Q Question 3 (2 point): Assume that Forster Co. expects to maintain its debt to equity ratio constant. What is the debt capacity for Forster Co. at time 0 and at time 1 (in millions of dollars, two decimals) (hint: you need to use answer from question 2) Time 0: $ (million) Time 1: $(million)