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*can you please explain how you got the answers* thank you! PROJECT CASH FLOW Colsen Communications is trying to estimate the first year cash flow

*can you please explain how you got the answers* thank you!

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PROJECT CASH FLOW Colsen Communications is trying to estimate the first year cash flow (at Year 1) for a proposed project. The financial staff has collected the following information on the project: Sales revenues $15 million Operating costs (excluding depreciation) 10.5 million Depreciation 3 million Interest expense 3 million The company has a 40% tax rate, and its WACC is 13%. Write out your answers completely. For example, 13 million should be entered as 13,000,000. a. What is the project's cash flow for the first year (t = 1)? Round your answer to the nearest dollar, b. If this project would cannibalize other projects by $1.5 million of cash flow before taxes per year how would this change your answer to part a Round your answer to the nearest dollar. The firm's project's cash flow would now be $ c. Ignore part b. If the tax rate dropped to 30%, how would that change your answer to part a Round your answer to the nearest dollar The firm's project's cash flow would Select by $

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