6 Chrome File Edit View History Bookmarks Profiles Tab Window Help A ThuDechi46PM . 6 Question 1 - Chapter 140 Ho X Gaston Company is consider X 9 Timed Assignment Connect ( C' O eztomheducationcom ' i n '7 i mil , i , i , '7 , _ , 7 , : ' * '4) Apps ,/ Web Slice Gallery E imported From lE 6 Kronos WORKFOR... @ Renaissance Place 9 Student Informati... Reading List Chapter 14C Homework 0 Saved Help Save & Exit Submit Check my work Gaston Company is considering a capital budgeting project that would require a $2,600,000 investment in equipment with a useful life of five years and no salvage value. The company's tax rate is 30% and its after-tax cost of capital is 13% It uses the straight-line depreciation method for nancial reporting and tax purposes. The project would provide net operating income each year for five years 5 as follows: points Sales $3,300,000 eBook Variable expenses 1 , 690 , 000 Contribution margin 1 ,610, 000 Hint Fixed expenses : Advertising, salaries , and other fixed $7 10 , 00 0 Print out-ofpocket costs Depreciation 520 , 000 Reierences Total fixed expenses 1 ,230, 000 Net operating income $ 380 , 000 Click here to View Exhibit 148-1 and Exhibit 143-2, to determine the appropriate discount factor(s) using tables. Required: Compute the project's net present value