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For questions 1-3 refer to the following information. (Round your answer to three decimal places. For example 1.23450 or 1.23463 will be rounded to 1.235

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For questions 1-3 refer to the following information. (Round your answer to three decimal places. For example 1.23450 or 1.23463 will be rounded to 1.235 while 1.23448 will be rounded to 1.234) Company XYZ wants to expand its operations with an aggressive plan. This plan entails building a new factory. The initial cost is $480 million (at t=0), it will last 8 years and is depreciated straight-line to a book value of 0. Annual sales and costs will be $300 million and $200 million respectively (in all 8 years). Inventories will rise immediately by $17 million. All working capital components return to original values at the end of the project's life. Assume tax rate is 25%. If Salvage value of the factory at t = 8 is $144.8 million. What is the after tax salvation value? If Accounts Payable rises immediately by $17.3 million. What is the FCFF at the beginning of the first year (i.e. at t=0)? If Accounts Receivables rise at the end of the first year (t = 1) by $48.9 million. What is the FCFF at the end of the first year (i.e. at t=1)

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