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#15 Suppose that Calloway golf would like to capitalize on Phil Michelson winning the Open Championship in 2013 by releasing a new putter. The new
#15 Suppose that Calloway golf would like to capitalize on Phil Michelson winning the Open Championship in 2013 by releasing a new putter. The new product will require new equipment for $417,778.00 that will be depreciated using the 5-year MACRS schedule. The project will run for 2 years with the following forecasted numbers: unanswered not submitted Year 1 Year 2 Attempts Remaining: Infinity Putter price $64.96 $64.96 Units sold 18,335.00 10,189.00 COGS 39.00% of sales 39.00% of sales Selling and Administrative 19.00% of sales 19.00% of sales Calloway has a 14.00% cost of capital and a 36.00% tax rate. The firm expects to sell the equipment after 2 years for a NSV of $139,869.00. What is the project cash flow for year 2? (include the terminal cash flow here) Submit Answer format: Currency: Round to: 2 decimal places
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