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Caspian Sea Drinks is considering the purchase of a plum juicer the PJX5 There is no planned increase in production The PJX5 will reduce costs by squeezing more juice from each plum and doing so in a more efficient manner. Mr. Bensen gave Derek the following information. What is the NPV of the PJX5? a. The PJX5 will cost $1.56 million fully installed and has a 10 year life. It will be depreciated to a book value of $197.526.00 and sold for that amount in year 10, b. The Engineering Department spent $48,324.00 researching the various juicers. C. Portions of the plant floor have been redesigned to accommodate the juicer at a cost of $17.719.00 d. The PJX5 will reduce operating costs by $459,935.00 per year e. CSD's marginal tax rate is 24.00% 1. CSD IS 63.00% equity-financed g. CSD'S 12.00-year, semi-annual pay 5.75% coupon bond sells for $1,04200 1. CSD's stock currently has a market value of $23. 24 and Mr. Bensen believes the market estimates that dividends will grow at 4.14% forever, Next year's dividend is projected to be $1.41 Submit Answer format: Currency: Round to: 2 decimal places Caspian Sea Drinks is considering the purchase of a plum juicer - the PJX5. There is no planned increase in production The PJX5 will reduce costs by squeezing more juice from each plum and doing so in a more efficient manner. Mr. Bensen gave Derek the following information. What is the IRR of the PJX5? a. The PJX5 will cost $2.32 million fully installed and has a 10 year life. It will be depreciated to a book value of $244,623.00 and sold for that amount in year 10 b. The Engineering Department spent $20,284.00 researching the various juicers. c. Portions of the plant floor have been redesigned to accommodate the juicer at a cost of $21,599.00 d. The PjX5 will reduce operating costs by $424,030.00 per year. e. CSD's marginal tax rate is 23.00% 1. CSD is 68.00% equity-financed g. CSO's 15.00-year, semi-annual pay, 5.36% coupon bond sells for $987.00. h CSD's stock currently has a market value of $21.10 and Mr. Bensen believes the market estimates that dividends will grow at 3.50% forever. Next year dividend is projected to be $1.52 Submit Answer format: Percentage Round to 2 decimal places (Example 92496% sign required. Will accept decimal formar rounded to 4 decimal places (ex 0,0924)) Caspian Sea Drinks is considering the production of a diet drink. The expansion of the plant and the purchase of the equipment necessary to produce the diet drink will cost $27.00 million. The plant and equipment will be depreciated over 10 years to a book value of $2.00 million, and sold for that amount in year 10. Net working capital will increase by $1. 10 million at the beginning of the project and will be recovered at the end. The new diet drink will produce revenues of $9.36 million per year and cost $2.30 million per year over the 10-year life of the project Marketing estimates 14.00% of the buyers of the diet drink will be people who will switch from the regular drink. The marginal tax rate is 33.00%. The WACC is 11.00%. Find the IRR (intemal rate of return) Submit Answer format: Percentage Round to 4 decimal places (Example: 9.2434% % sign required Will accept decimal format rounded to 6 decimal places (ex 0.092434)) Caspian Sea Drinks is considering the purchase of a plum juicer the PJX5 There is no planned increase in production The PJX5 will reduce costs by squeezing more juice from each plum and doing so in a more efficient manner. Mr. Bensen gave Derek the following information. What is the NPV of the PJX5? a. The PJX5 will cost $1.56 million fully installed and has a 10 year life. It will be depreciated to a book value of $197.526.00 and sold for that amount in year 10, b. The Engineering Department spent $48,324.00 researching the various juicers. C. Portions of the plant floor have been redesigned to accommodate the juicer at a cost of $17.719.00 d. The PJX5 will reduce operating costs by $459,935.00 per year e. CSD's marginal tax rate is 24.00% 1. CSD IS 63.00% equity-financed g. CSD'S 12.00-year, semi-annual pay 5.75% coupon bond sells for $1,04200 1. CSD's stock currently has a market value of $23. 24 and Mr. Bensen believes the market estimates that dividends will grow at 4.14% forever, Next year's dividend is projected to be $1.41 Submit Answer format: Currency: Round to: 2 decimal places Caspian Sea Drinks is considering the purchase of a plum juicer - the PJX5. There is no planned increase in production The PJX5 will reduce costs by squeezing more juice from each plum and doing so in a more efficient manner. Mr. Bensen gave Derek the following information. What is the IRR of the PJX5? a. The PJX5 will cost $2.32 million fully installed and has a 10 year life. It will be depreciated to a book value of $244,623.00 and sold for that amount in year 10 b. The Engineering Department spent $20,284.00 researching the various juicers. c. Portions of the plant floor have been redesigned to accommodate the juicer at a cost of $21,599.00 d. The PjX5 will reduce operating costs by $424,030.00 per year. e. CSD's marginal tax rate is 23.00% 1. CSD is 68.00% equity-financed g. CSO's 15.00-year, semi-annual pay, 5.36% coupon bond sells for $987.00. h CSD's stock currently has a market value of $21.10 and Mr. Bensen believes the market estimates that dividends will grow at 3.50% forever. Next year dividend is projected to be $1.52 Submit Answer format: Percentage Round to 2 decimal places (Example 92496% sign required. Will accept decimal formar rounded to 4 decimal places (ex 0,0924)) Caspian Sea Drinks is considering the production of a diet drink. The expansion of the plant and the purchase of the equipment necessary to produce the diet drink will cost $27.00 million. The plant and equipment will be depreciated over 10 years to a book value of $2.00 million, and sold for that amount in year 10. Net working capital will increase by $1. 10 million at the beginning of the project and will be recovered at the end. The new diet drink will produce revenues of $9.36 million per year and cost $2.30 million per year over the 10-year life of the project Marketing estimates 14.00% of the buyers of the diet drink will be people who will switch from the regular drink. The marginal tax rate is 33.00%. The WACC is 11.00%. Find the IRR (intemal rate of return) Submit Answer format: Percentage Round to 4 decimal places (Example: 9.2434% % sign required Will accept decimal format rounded to 6 decimal places (ex 0.092434))