Question 5. You are considering whether to launch a second new product and want to determine the financial feasibility. If you undertake the project, it will cost $10 million to launch and new product will generate annual net cash flows of $1,$3,$4, and $6.75 million during the first four years. You will finance the project with debt and equity and your cost of capital for the project is 10%. From a financial perspective only, this project should be accepted. Answer 5: True or False