is the project's Year I net cash flow now? Year 2? Year 3what is the he . Project Evaluation LO1 Dog Up! Franks is looking at a new sausage system with an installed cost of $540,000. This cost will be depreciated straight-line to zero over the project's five-year life, at the end of which the sausage system can be scrapped for $80,000. The sausage system will save the firm $170,000 per year erating costs, and the system requires an initial investment in net working $29,000. If the tax rate is NPV of this project? in pretax op- cagital of 34 percent and the discount rate is 10 percent, what is the luation IL911 Your firm is contemplating the purchase of a new