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Esfandaili Enterprises is considering a new three-yeat exponsion project that requires an initiai fixed asset investment of 52,290,000. The tixed asset falls info the three-year

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Esfandaili Enterprises is considering a new three-yeat exponsion project that requires an initiai fixed asset investment of 52,290,000. The tixed asset falls info the three-year MACRS class (MACRS schedale). The project is estimated to generate $1715,000 in annual sales, with costs of $624,000. The project requires an initial investment in net working cepital of $260,000, and the fiked asset will have a matker value of $195,000 at the end of the project. a. It the tax rate is 21 percent, what is the project's Year 0 net cash How? Year T Year 27 Year 3 ? Note: A negative answer should be indicated by a minus sign. Do not round intermediate calculations and round your answers to two decimal places, e.g. 32.16. b. If the required retum is 9 percent, what is the project's NPV? Note: Do not round intermediate calculations and round your answer to two decimal places, e.9., 32.16

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