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Esfandiari Enterprises is considering a new three - year expansion project that requires an initial fixed asset investment of $ 3 million. The fixed asset
Esfandiari Enterprises is considering a new threeyear expansion project that requires an initial fixed asset investment of $ million. The fixed asset will be depreciated straightline to zero over its threeyear tax life, after which time it will be worthless. The project is estimated to generate $ 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.
If the tax rate is percent, what is the projects Year net cash flow? Year Year Year
Note: 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
If the required return is percent, what is the project's NPV
Note: Do not round intermediate calculations and round your answer to decimal places, eg
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