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Ivashina Enterprises is considering a new project. The project will require $307,985 for new fixed assets, $150,121 for additional inventory, and $34,409 for additional accounts
Ivashina Enterprises is considering a new project. The project will require $307,985 for new fixed assets, $150,121 for additional inventory, and $34,409 for additional accounts receivable. Accounts payable are expected to increase by $81,416. Long-term debt is expected to increase by $241,168. The project has a 5 -year life. The fixed assets will be depreciated straight-line to a zero book value over the project's life. At the end of the project, the fixed assets can be sold for 20% of their original cost. The net working capital returns to its original level at the end of the project. The project is expected to generate sales of $811,916 and costs of $685,551 yearly over the project's life. The tax rate is 32%, and the required rate of return is 14%. What is the NPV of the project? Round your responses to two decimal points. Do not include the \$ sign
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