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Cou must evaluate the purchase of a proposed spectrometer for the k30 department. The purchase price of the spectrometer inciuding modifications is $270,000, and the

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Cou must evaluate the purchase of a proposed spectrometer for the k30 department. The purchase price of the spectrometer inciuding modifications is $270,000, and the equipment will be fully depreclated at the time of purchase. The equipment would be sold after 3 years for $92,000. The equipment would require a $15,000 increase in net operating working caplal (spare parts imventory). The project would have no effect on revenues, but it should save the firm $78,000 per year in before-tax iabor costs. The firm's marginal foderalplus-state tax rate is 25%. a. What is the initial investment outlay for the spectrometer, that is, what is the Year 0 project cash flow? Enter your answer as a positive value. Round your answer to the nesrest dollar. 5 b. What are the protect's annual cash fows in Years 1,2 , and 37 Do not round intermediste calculations, Round your answers to the nearest dollac. Year 1:s Year 2:5 Year 3:5 c. If the WMCC in 10%, should the spectrometer be purchased

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