Financial Management (Resolve all 4 scenatios)

stScenario The initial cash outlay at Time 0 is simply the cost of the new equipment, $15,000,000 and the confederation's required return of 12 percent. The marketing study and the research and development are both sunk costs and should be ignored. (Assuming CCA class is 43, the CCA rate of 30 percent and corporate tax is 35 percent). Sales Sales VC Fixed costs Year Year 2 Year 3 17,500,000 $20,000,000 $25,000,000 $21,250,000 $18,750,000 6,020,000 6,880,000 8,600,000 7,310,000 6,450,000 3.000,000 3,000.000 3000,000 3,000000 3000,000 Year 4 Year 5 Required: Calculate OCF from the above information