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18 ha c ia 19. What is the cash flow amount (CF) in Year 2 What is the operating cash flow (OCT) Year 17 D.

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18 ha c ia 19. What is the cash flow amount (CF) in Year 2 What is the operating cash flow (OCT) Year 17 D. 108350 E. SI68.350 1. What is the cash flow (CF) in Year 2 What is the operating cash flow met ) Year 17 D. 5108.350 E. SI630 For Question 17-23 123 Enterprises is considering a new project. The project will require $325,000 for new fixed assets and an additional $95.000 for net working capital. The project has a 5-year life. The fixed assets will be depreciated straight-line to a zero book value over the life of the project. At the end of the project, the fixed assets can be sold for 25% of their original cost. The networking capital returns to its original level at the end of the project. The project is expected to generate annual sales of $554,000 and costs of $430,000 per year. The tax rate is 35% and the required rate of return is 15%. 17. What is the amount of net capital spending (NCS) in Year 0? A. $325,000 B. $420,000 C. $430,000 D. $520,000 E. $620,000 18. What is the amount of the change in net working capital (ANWC) in Year 0? A. $95,000 B. $325,000 C. $430,000 D. $554,000 19. What is the cash flow amount (CF) in Year 0? A. $325,000 B. $420,000 C. $430,000 D. $520,000 E. $620,000 20. What is the operating cash flow amount (OCF) in Year 1? A. $90,025 B. $100,350 C. $103,350 D. $108,550 E. $168,350

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