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If the company is looking to expand its operations by 10% of the firm's net property, plant, and equipment. (10% of the property, plant, and

If the company is looking to expand its operations by 10% of the firm's net property, plant, and equipment. (10% of the property, plant, and equipment), calculate this amount.



The estimated life of this new property, plant, and equipment will be 12 years. What is the equipment cost if the salvage value of the equipment will be 5% of the property, plant and equipment's cost



What is the project's EBIT to free cash flow for the 12 years of the project?



What is the project cost if the annual EBIT for this new project will be 18% of the project's cost?



Using the straight-line method, depreciate the equipment (assuming that there will be no increases in net working capital each year).



What is the WACC?
What is the net present value for the capital budget?
What is the internal rate of return?
What is the discounted payback period?

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