(a) Find the Free Cash Flow for year 1, 2 and 3

(b) Find the NPV and IRR for this project?

(c) If the firm decides to add another machine into manufacturing to produce soya sauce, the addition of the new machine will approximately cost around RM450,000. This machine has a 5-year depreciation and depreciated based on straight line method. Assuming your companys tax rate is 30%, what is the depreciation tax shield for the first year

Good Soya Bhd, a soya source manufacturer, is thinking of launching a project with a 3-year lifespan. Currently Good Soya Bhd is utilizing a cost of capital of 18% for this project. Based on the firm's analysis, the firm has prepared the following cash flow projections