how much marks I get if this question is of 70 marks?

The Bristol Manufacturing Company is considering an investment in a new automated inventory system for its warehouse that will provide cash savings to the firm over the next five years. The firm's CFO anticipates additional earnings before interest, taxes, depreciation, and amortization (EBITDA) from cost savings equal to $400,000 for the first year of operation of the center, and over the next four years the firm estimates this amount will grow at a rate of 10% per year. The company's interest expense over the five-year period will be constant at $50,000 per year. The inventory system will require an initial investment of $1,500,000 that will be depreciated over a five-year period using straight line depreciation and a zero estimated salvage value. After the initial investment, no capital expenditures are planned. The net working capital remains constant over the investment period. a) Calculate the project's annual project free cash flow (PFCF) for each of the next five years where the firm's tax rate is 25%. b) If the cost of capital for the project is 13%, what is the projected net present value (NPV) for the investment? c) Produce a new calculation using cost of capital that are closer to the internal rate of return. Based on your calculation, make an informed guess on the actual internal rate of return. A) Calculation of free cash flows of the project. YEAR 2 0 1 3 4 5 1500000 mino Particulars Initial investment EBITDA Dereciation Operting income interest expenses pre tax income Tax(25%) NOPAT Depreciation Free cash flows 400000 440000 484000 532400 300000 300000 300000 300000 100000 140000 184000 232400 50000 50000 50000 50000 50000 90000 134000 182400 12500 22500 33500 45600 37500 67500 100500 136800 300000 300000 300000 300000 337500 367500 400500 436800 585640 300000 285640 50000 235640 58910 176730 300000 476730 B) If the cost of capital of the project is 13%, then projected NPV for the investment 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 RA 337500 298673 367500 287806 400500 277567 436800 267898 476730 258750 Free Cash Flows Discounted cash flows Present value NPV 1390693.1 -109306.9 C) Calculate IRR - 1500000 436800 337500 298673 367500 287806 400500 277567 476730 258750 267898 Free Cash Flows Discounted cash flows Present value NPV IRR 1390693.1 -109306.9 10%