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3 pts Question 1 analysis. The analysis of the effects that what-if questions have on a project is referred to as erosion cost reduction benefit

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3 pts Question 1 analysis. The analysis of the effects that what-if questions have on a project is referred to as erosion cost reduction benefit scenario sensitivity 3 pts Question 2 The net working capital invested in a project is generally: a sunk cost. recouped at the end of the project. depreciated to a zero balance over the life of the project. recouped in the first year of the project. an opportunity cost. 3 pts 3 pts Question 3 Afirm has net income of $42,000, depreciation of $3,000, interest expense of $1,200, and taxes of $1,100. What is the firm's operating cash flow? $48.800 $45,000 $46,200 $40,200 $43,800 Question 4 3 pts Martin and Miller is considering a project that requires $360,000 of fixed assets that are classified as 7-year property for MACRS. What is the book value of these assets at the end of year 3? Year 1 3 4 5 6 8 2 24.49 7 8.93 Percent 14.29 17.49 12.49 8.93 8.93 4.45 $162,309 $157,428 $220,392 $112,464 $189.228

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