Answer:
The NPV is -300
Explanation:
When the demand for the gadgets is high then the cash flows will be $600 and when the demand is low then the cash inflow is 0. The initial cost of the project is $300 which is to be incurred to start the project. The NPV will be $-300 as the cash flows are not defined and are based on the demand. If the demand for gadgets is low there will be no sale of the gadgets and the cash inflow will be zero.
