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Esfandairl Enterprises is considering a new 3 - year expansion project that requires an Inltial fixed asset Investment of $ 2 . 3 1 million.
Esfandairl Enterprises is considering a new year expansion project that requires an
Inltial fixed asset Investment of $ million. The fixed asset qualifies for percent
bonus depreciation. The project is estimated to generate $ in annual sales,
with costs of $ The project requires an initial investment in net working capltal
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 negatlve answer should be Indicated by a minus sign. Do not round
intermedlate 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
Intermedlate calculations and enter your answer In dollars, not millilons of dollars,
rounded to two decimal places, eg
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