calculate year 3 Cash Flow and Net Present Value!

Esfandairi Enterprises is considering a new three-year expansion project that requires an initial fixed asset investment of $2,400.000 The fixed asset will be depreciated straight-line to zero over its three-year tax life. The project is estimated to generate $3,030,000 is annual sales, with costs of $2,030,000. The project requires an initial investment in net working capital of $168,000, and the fixed asset will have a market value of $203,000 at the end of the project. Assume that the tax rate is 23 percent and the required return o the project is 10 percent. a. What are the net cash flows of the project each year? Note: A negative answer should be indicated by o minus sign. Do not round intermediote calculations and round your answers to the neorest whole number, e.g, 32 b. What is the NPV of the project? Note: Do not round intermediate calculations and round your answer to 2 decimal places, e.9., 32.16