Expert Q&A Done 10. Consider the following project that has a physical life of 3 years. The project can be abandoned at any time during its physical life. Assume that the appropriate cost of capital is 10%. Cash flows are shown below. Initial investment and (After-tax) Year (Operating) Cash Flows Abandonment Values 0-$5,000 $5,000 1 $2,100 S3,100 2 S2,000 $2,000 3 $1,750 $0 What is the economic life of the project? (1 point) 10. Consider the following project that has a physical life of 3 years. The project can be abandoned at any time during its physica life. Assume that the appropriate cost of capital is 10%. Cash flows are shown below: (After-tax) Abandonment Values Initial investment and (Operating) Cash Flows $5,000 $2,100 $2,000 $1,750 Year $5,000 S3,100 $2,000 S0 What is the economic life of the project? (1 point)