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a printing firm plans on implementing a capital expenditure project involving purchasing and installing new equipment. the equipment will cost $40,000 with an additional $3000

a printing firm plans on implementing a capital expenditure project involving purchasing and installing new equipment. the equipment will cost $40,000 with an additional $3000 charge for delivery. Installation is expected to be $4000. the equipment has an expected life of 5 years and a salvage value of $10,000. the project requires an additional working capital investment of $5000. the project revenues are forecasted at $20,000 per year and cash expenses are estimated at $15,000 per year. the firm has a 30% marginal tax rate and a 10% weighter average cost of capital. Annual depreciation is expected to increase at $9400 per year assuming simplified straight depreciation. Calculate the one-time, end of project cash flows from this proposed project
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The equipment forecast at $20,000 per year and cash exp 59,400 per year, assuming simplified strain $12,000 $7,000 $15,000 $5,000 None of the listed items is correct

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