Alyeska Salmon Inc.s$,$ a large salmon canning firm operating out of Valdez, Alaska, has a new automated production line project it is considering. The project has a cost of $$300,000$ and is expected to provide after$-$tax annual cash flows of $$80,000$ for seven years. The cost of capital for the firm is $15$ percent.

What is the NPV of the project?

$29,625$

$32,834$

$39,158$

$43,238$

$61,157$

Question $15$

What is the EAA $($Equivalent Annual Annuity$)$ cash flow of the project?

$6,372$

$7,131$

$7,892$

$9,335$

$10,341$