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20.00 - 20,000 Capital Expenditures 300,000 Free Cash Flow 223000 223000 223000 Visby Rides a very car company is considering buying some new luxury cars.

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20.00 - 20,000 Capital Expenditures 300,000 Free Cash Flow 223000 223000 223000 Visby Rides a very car company is considering buying some new luxury cars. After extensive research they come up with the above estimates of free cash flow from this project The depreciation schedule shown is for three-year straight line depreciation By how much would the nel present value (NPV) of this project be increased, if the cars were depreciated by the MACRS scheduleshown below given that the cost of capital is 10% Year 0 Year 1 Year 2 Year 3 MACRS 33.33% 44.45% 1481% Depreciation Rate OA $22.705 OD 50.002 OG $10.000 OD 57200

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