Graded Assignment 2: TapsiCo 0 points possible (ungraded) TapsiCo is a manufacturer of soft drinks. TapsiCo owns a land in Georgia that can be used for building a Distribution Center (DC). The company has estimated that it will cost $1 M to build a high technology DC, which will lead to cost savings of 320 thousand dollars per year. The company is planning to use the DC for only 3 years and sell it at book value at the end ofthe third year. The DC has a life-time of 5 years after which its salvage value is $500,000. The company is using a straightline method for calculating the depreciation. Assume a tax rate of 20% and a discount rate of 5%. Ignore inflation. The company wants to conduct a nancial analysis of the investment and decide if it should build the DC. Answer the questions below. NOTE: Be sure to enter all of your answers in thousands of dollars without commas or currency signs. Round your answers to the closest thousands, e.g., if you answer is 23,495.45 then you would enter 23 and if your answer was 87,567 you would enter 88. What is the yearly depreciation amount in thousands of dollar? This question is not graded. Submit You have used 0 of2 attempts Save Part'l 0.0106 points (graded) If TapsiCo decides to build the DC, what would be the projected EBITDA (in thousands of dollars) associated with the investment at the end of year 'I? Submit You have used 0 of2 attempts a Save Part2 0.0/0.6 points (graded) If TapsiCo decides to build the DC, what would be the projected NOPAT (in thousands ofdollars) associated with the investment at the end of year 3? Submit You have used 0 of2 attempts a Save Part 4 0.0/0.6 points (graded) If TapsiCo decides to build the DC, what would be the Net Present Value (NPV) in thousands of dollars of the investment? Submit You have used 0 of 2 attempts Save Part 5 0.0/0.6 points (graded) TapsiCo has the option of not building the DC and instead selling the land in the beggining of the first year. The land will sell for $450,000. With this information should the company build the DC or sell the land? Build the DC Sell the land