12-15 Project Cash Flows Your company is contemplating replacing its current fleet of delivery vehicles with Nissan NV vans. You will be replacing five fully-depreciated vans, which you think you can sell for $3.000 each and which you could probably use for another two years if you chose not to replace them. The NV vans will cost $29,850 each in the configuration you want them and can be depreciated using MACRS over a five-year life. Expected yearly before-tax cash savings due to acquiring the new vans amounts to about $3,700 each. If your cost of capital is 8 percent and your firm faces a 34 percent tax rate, what will the cash flows for this project be? (LG12-50) 12-15 Project Cash Flows Your company is contemplating replacing its current fleet of delivery vehicles with Nissan NV vans. You will be replacing five fully-depreciated vans, which you think you can sell for $3.000 each and which you could probably use for another two years if you chose not to replace them. The NV vans will cost $29,850 each in the configuration you want them and can be depreciated using MACRS over a five-year life. Expected yearly before-tax cash savings due to acquiring the new vans amounts to about $3,700 each. If your cost of capital is 8 percent and your firm faces a 34 percent tax rate, what will the cash flows for this project be? (LG12-50)