1) What is the 1) What is the operating cash flow for this project in year 1?

2) What is the operating cash flow for this project in year 2?

3) What is the operating cash flow for this project in year 3?

4) What is the operating cash flow for this project in year 4?

5)What is the operating cash flow for this project in year 5?

6) What is the operating cash flow for this project in year 6?

7) What is the operating cash flow for this project in year 7?

8) What is the operating cash flow for this project in year 8?

9) What is the operating cash flow for this project in year 9?

10) What is the operating cash flow for this project in year 10?

11) What is the after-tax cash flow of the project at disposal?

12) What is the NPV of the project?

NPV. Miglietti Restaurants is looking at a project with the following forecasted sales: first-year sales quantity of 35,000, 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 tolal cost (including installation) of $2,300,000. It will be depreciated using MACRS, and has a seven year MACRS life classifical Fixed costs will be $350,000 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? i Data Table $7 (Round to the nearest dollar.) MACRS Fixed Annual Expense Percentages by Recovery Class Click on this icon to download the data from this table Year 1 2 3 3-Year 33.33% 44.45% 14.81% % 7.41% 5-Year 20.00% 32.00% 19.20% 11.52% 11.52% 5.76% 7-Year 14.29% 24.49% 17.49% 12.49% a.93% % 8.93% 8.93% 5 6 7 a 9 10 11 10-Year 10.00% 18.00% 14.40% 11.52% 9.22% 7.37% 6.55% 6.55% % 6.55% 6.55% 3.28% 4.45% Print Done Enter your answer in the answer box and then click Check Answer. 11 parts remaining Clear All Check Answer Operating cash flow calculation Revenue -COGS - Fixed costs - Depreciation EBIT - Taxes Net income (Net Loss) + Depreciation Operating cash flow How to calculate Units sales x Unit Price Production cost percentage x Revenue Fixed costs remain constant throughout at $350,000 each year. Initial cost MACRS percentage. EBIT X Tax rate