Please answer part 4 and below

You are a consultant who was hired to evaluate a new product line for Markum Enterprises. The upfront investment required to launch the product line is $150 million (time 0). The product will generate free cash flow of $8 million the first year, and this free cash flow is expected to grow at a rate of 3.5% per year. Markum has an equity cost of capital of 12%, a debt cost of capital of 5%, and a marginal tax rate of 40%. Markum plans to finance the project with a constant D:V ratio of 0.5. Answers must be rounded up to one decimal place wherever required. 1. Calculate Markum's WACC. % 2. Calculate the NPV of the new product line using the WACC method. $ million 3. How much debt will Markum initially take on as a result of launching this product line? $ million 4. How will Markum's total debt change during the project's life? Grow at % 5. Calculate the roof the new product line. % 6. Calculate the unlevered value of the project. $ million 7. What is the total enterprise value of the project? $ million 8. Estimate the NPV of the project using the APV method. $ million 9. How much of the project's value is attributable to the present value of the interest tax shields? % In the above problem, instead of a constant D:V ratio, Markum now plans to finance the project with perpetual debt of $100 million that has an interest rate of 5%. i.e. it plans to keep the debt constant at the initial amount. Answer the following questions in this case. 1. Calculate the present value of the tax shield of the project. $ million 2. Explain briefly the reason for the difference in the project value between the two cases. [ans2] You are a consultant who was hired to evaluate a new product line for Markum Enterprises. The upfront investment required to launch the product line is $150 million (time 0). The product will generate free cash flow of $8 million the first year, and this free cash flow is expected to grow at a rate of 3.5% per year. Markum has an equity cost of capital of 12%, a debt cost of capital of 5%, and a marginal tax rate of 40%. Markum plans to finance the project with a constant D:V ratio of 0.5. Answers must be rounded up to one decimal place wherever required. 1. Calculate Markum's WACC. % 2. Calculate the NPV of the new product line using the WACC method. $ million 3. How much debt will Markum initially take on as a result of launching this product line? $ million 4. How will Markum's total debt change during the project's life? Grow at % 5. Calculate the roof the new product line. % 6. Calculate the unlevered value of the project. $ million 7. What is the total enterprise value of the project? $ million 8. Estimate the NPV of the project using the APV method. $ million 9. How much of the project's value is attributable to the present value of the interest tax shields? % In the above problem, instead of a constant D:V ratio, Markum now plans to finance the project with perpetual debt of $100 million that has an interest rate of 5%. i.e. it plans to keep the debt constant at the initial amount. Answer the following questions in this case. 1. Calculate the present value of the tax shield of the project. $ million 2. Explain briefly the reason for the difference in the project value between the two cases. [ans2]