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1: What is operating cash flow for this project in years 4-10 1: What is the operating cash flow for this project for the first

image text in transcribed1: What is operating cash flow for this project in years 4-10

1: What is the operating cash flow for this project for the first five years of the 10-year period??

2: for the last five years of the 10-year period?

3: What is the book value?

4: Calculate the gain or loss at disposal of the manufacturing equipment.

5: What is the after-tax cash flow at disposal?

6: What is the net present value?

NPV. Miglietti Restaurants is looking at a project with the following forecasted sales: first-year sales quantity of 33,000, with an annual growth rate of 4.00% over the next ten years. The sales price per unit will start at $43.00 and will grow at 2.00% per year. The production costs are expected to be 55% of the current year's sales price. The manufacturing equipment to aid this project will have a total cost (including installation) of $2,300,000. It will be depreciated using MACRS, B, and has a seven-year MACRS life classification. Fixed costs will be $330,000 per year. Miglietti Restaurants has a tax rate of 35%. What is the operating cash flow for this project over these ten years? Find the NPV of the project for Miglietti Restaurants if the manufacturing equipment can be sold for $130,000 at the end of the ten-year project and the cost of capital for this project is 7%. What is the operating cash flow for this project in year 1? $ 315592 (Round to the nearest dollar.) What is the operating cash flow for this project in year 2? $ 422937 (Round to the nearest dollar.) What is the operating cash flow for this project in year 3? $ 393,389 (Round to the nearest dollar.) What is the operating cash flow for this project in year 4? $344139 (Round to the nearest dollar.) NPV. Miglietti Restaurants is looking at a project with the following forecasted sales: first-year sales quantity of 33,000, with an annual growth rate of 4.00% over the next ten years. The sales price per unit will start at $43.00 and will grow at 2.00% per year. The production costs are expected to be 55% of the current year's sales price. The manufacturing equipment to aid this project will have a total cost (including installation) of $2,300,000. It will be depreciated using MACRS, B, and has a seven-year MACRS life classification. Fixed costs will be $330,000 per year. Miglietti Restaurants has a tax rate of 35%. What is the operating cash flow for this project over these ten years? Find the NPV of the project for Miglietti Restaurants if the manufacturing equipment can be sold for $130,000 at the end of the ten-year project and the cost of capital for this project is 7%. What is the operating cash flow for this project in year 1? $ 315592 (Round to the nearest dollar.) What is the operating cash flow for this project in year 2? $ 422937 (Round to the nearest dollar.) What is the operating cash flow for this project in year 3? $ 393,389 (Round to the nearest dollar.) What is the operating cash flow for this project in year 4? $344139 (Round to the nearest dollar.)

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