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An auto plant that costs $75 million to build can produce a new line of...

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An auto plant that costs $75 million to build can produce a new line of cars that will produce net cash flow of $50 million per year if the line is successful, but only $6 million per year if it is unsuccessful. You believe that the probability of success is about 10 percent. The auto plant is expected to have a life of 27 years and the opportunity cost of capital is 4 percent. What is the expected net present value of building the plant? Please state your answer in millions and in 2 decimal places. Number million Section Attempt 1 of 1 Verify

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