Elmdale Enterprises is deciding whether to expand its production facilities. Although long$-$term cash

flows are difficult to estimate, management has projected the following items for the first two years $($in

millions of dollars$)$Elmdale Enterprises is deciding whether to expand its production facilities. Although long$-$term cash flows are difficult to estimate, management has projected the following items for the first two years $($in millions of dollars$)$:

$\backslash$table$[[,$Year $1,$Year $2],[$Revenues$,125,160],[\backslash$table$[[$Costs of goods sold and operating expenses other$],[$than depreciation$]],40,60],[$Depreciation$,25,36],[$Increase in net working capital,$5,8],[$Capital expenditures,$30,40],[$Corporate tax rate,$20\%,20\%$Calculate the free cash flows for this project in the first two years. Use both methods to account for

depreciation.