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Blinken manufacturing is considering a three - year project with an initial cost of 7 8 0 , 0 0 0 . The project would

Blinken manufacturing is considering a three-year project with an initial cost of 780,000. The project would not directly produce any sales but will reduce operating cost by 300,000 a year that equipment is depreciated straight line to a zero book value over the life of the project at the end of the project, the equipment will be sold for an estimated $20,000. The tax rate is 30%. The project will require 40,000 and extra inventory for spare parts and accessories. What is the IRR on this project and should the project be implemented it blink WACC is 8%What is the annual depreciation? What is the annual operating cash flow?What is the net salvage value?

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