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answer with options given Fun With Finance is considering a new 3-year expansion project that requires an initial fixed asset investment of $4.05 million. The

answer with options given

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Fun With Finance is considering a new 3-year expansion project that requires an initial fixed asset investment of $4.05 million. The fixed asset will be depreciated straight-line to zero over its 3-year tax life, after which time it will have a market value of $315,000. The project requires an initial investment in net working capital of $450,000. The project is estimated to generate $3,600,000 in annual sales, with costs of $1,440,000. The tax rate is 34 percent and the required return on the project is 10 percent. Required: (a)What is the project's year 0 net cash flow? (b)What is the proiect's year 1 net cash flow? (c) What is the project's year 2 net cash flow? (d)What is the project's year 3 net cash flow? (e)What is the NPV? Required: (Click to select) V (Click to select) 1,790,370 1,884,600 1,696,140 1,978,830 2,073,060 (e)What is the NPV? 1,978,830 1,790,370 2,073,060 1,884,600 1,696,140 (Click to select) 2,288,250 2,415,375 2,796,750 2,669,625 2,542,500 (Click to select) 636,721 905,745 681,011 715,062 1,814,013

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