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6. Problem 12.08 (New Project Analysis) ek, You must evaluate the purchase of a proposed spectrometer for the department. The purchase price of the spectrometer

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6. Problem 12.08 (New Project Analysis) ek, You must evaluate the purchase of a proposed spectrometer for the department. The purchase price of the spectrometer including modification a $250,000, and the equipment will be fully depreciated at the time of purchase. The equipment would be soldater years for 147,000. The equipment would require a $13.000 increase in net operating working capital spare parts inventory). The project would have no effect on revenues, but should save the firm $20.000 per year in before tax labor costs. The firm's marginal federal state tax rate 25 What is the initial investmen olay for the spectrometer after bonus depreciation is considered, that is what is the Year o projetoshow? Enter your answer sa positive ale Round your answer to the besest olla b What are the project's annual canh Fon in Year 1, 2, ond ? Do not round intermediate calculadora. Mennd your answers to the nearest dale Years Year 1: Years the WACC R 115, should the spectrometer be purchased? 6. Problem 12.00 (New Project Analysis) Be You must evaluate the purchase of reported spectrometer for the RAD department. The purchase price of the spectrometer viduting modification $250,000, and the ment will buy deprecated at the time of purchase. The equipment would be sold after years for 43,000. The equipment would require a $13,000 increase in net operating working capital spare parts inventory). The project would have no effect on revenue, but should save the firm $20,000 per year before-tex labor costs. The firm's marginal federal state tax rate is 25 What is the initial investment stay for the spectrometer after bonus depreciation is considered that is what is the Year project cash flow Enter your answers a positive value Hound your answer to the nearest dollar what we the projects annual cash flow in year 1, 2, and ?? De not round intermediate actions. Round your answers to the nearest della Year Year 2:5 Year the WACC I should the spectromet be purchased! * Hy

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