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Esfandairi Enterprises is considering a new three - year expansion project that requires an initial fixed asset investment of $ 2 . 1 8 million.
Esfandairi Enterprises is considering a new threeyear expansion project that requires an initial fixed asset investment of $ million. The fixed asset qualifies for percent bonus depreciation. The project is estimated to generate $ million in annual sales, with costs of $ The project requires an initial investment in net working capital of $ and the fixed asset will have a market value of $ at the end of the project.
a If the tax rate is percent, what is the project's Year net cash flow? Year Year Year A negative answer should be indicated by a minus sign. Do not round intermediate calculations and enter your answers in dollars, not millions of dollars, eg
b If the required return is percent, what is the project's NPVDo not round intermediate calculations and enter your answer in dollars, not millions of dollars, rounded to two decimal places, eg
tableAmounta Year cash flow,$
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