Question: SOLVE BY HAND! Write out NPV function and show calculations of numbers. Thank you. Cost of capital Epsilon Corp. is evaluating an expansion of its
SOLVE BY HAND! Write out NPV function and show calculations of numbers. Thank you.

Cost of capital Epsilon Corp. is evaluating an expansion of its business. The cash-flow forecasts for the project are as follows: Years Cash Flow ($ millions) 0 -100 1-10 +15 The firm's existing assets have a beta of 1.4. The risk-free interest rate is 4% and the expected return on the market portfolio is 12%. What is the project's NPV
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