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answer all parts plz Intro Apple is planning to launch a new easy-to-use kitchen appliance with a touchscreen interface, the Toaster Apple expects to sell
answer all parts plz
Intro Apple is planning to launch a new easy-to-use kitchen appliance with a touchscreen interface, the Toaster Apple expects to sell 1 million and 2 million units in the first two years after launch, respectively, and then to discontinue this product. Each unit will sell for $200 in the first year after launch, and $150 in the second year. The costs of components and labor are $50 per unit, while salaries and other expenses add up to $10 million in each year the product is sold The factory that manufactures the Toaster requires an investment of $70 million right now and $35 million one year from now. It will take one year to complete, so production will only start in the second year. The factory will be depreciated linearly to zero over 5 years after its completion To get production up and running. Apple has to buy components worth $5 million immediately before the launch of the product, and add another $2 million worth of components to its inventory exactly one year later The firm's marginal tax rate is 34% Attempt 1/10 for 10 pts Part 1 What is the annual depreciation (In 5 million)? 0+ decimals Submit Part 2 - Attempt 1/10 for 10 pts What is the after tax operating income in year 2 (in s million)? 0+ decimals Submit Part 3 JB Attempt 1/10 for 10 pts. What is the after-tax operating income in year 3 (in $ million)? 0+ decimals Submit Part 4 IB Attempt 1/10 for 10 pts What is the cash flow from assets (CFA) at the end of year o (in 5 million)? 0+ decimals Submit Part 5 Attempt 1/10 for 10 pts What is the cash flow from assets (CFA) at the end of year 1 (in 5 miliony? 0+ decimals Submit Part 6 B Attempt 1/10 for 10 pts. What is the cash flow from assets (CFA) at the end of year 2 (in $ million)? 0+ decimals Submit Step by Step Solution
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