look it over and give me your opinion." You open the report and find the following estimates (in millions of dollars): (Click on the following icon in order to copy its contents into a spreadsheet.) \begin{tabular}{|c|c|c|c|c|c|} \hline \multicolumn{6}{|c|}{ Earnings Forecast ( $ million) } \\ \hline & \multicolumn{5}{|c|}{ Project Year } \\ \hline & 1 & 2 & & 9 & 10 \\ \hline Sales revenue & 26.000 & 26.000 & & 26.000 & 26.000 \\ \hline - Cost of goods sold & 15.600 & 15.600 & & 15.600 & 15.600 \\ \hline= Gross profit & 10.400 & 10.400 & & 10.400 & 10.400 \\ \hline - Selling, general, and administrative expenses & 1.200 & 1.200 & & 1.200 & 1.200 \\ \hline - Depreciation & 1.500 & 1.500 & & 1.500 & 1.500 \\ \hline= Net operating income & 7.700 & 7.700 & & 7.700 & 7.700 \\ \hline - Income tax & 1.54 & 1.54 & & 1.54 & 1.54 \\ \hline= Net unlevered income & 6.160 & 6.160 & & 6.160 & 6.160 \\ \hline \end{tabular} your halcyon days in finance class and realize there is more work to be donel accepted. Finally, you know that accounting earnings are not the right thing to focus on! a. Given the available information, what are the free cash flows in years 0 through 10 that should be used to evaluate the proposed project? b. If capital for this project is 13%, what is your estimate of the b. If the cost of capital for this project is 13%, what is your estimate of the value of the new project? (i) Click the icon to see the Worked Solution (Formula Solution). (i) Click the icon to see the Worked Solution (Financial Calculator and Spreadsheet Solution). a. Given the available information, what are the free cash flows in years 0 through 10 that should be used to evaluate the proposed project? The free cash flow for year 0 is_ million. (Round to three decimal places and enter a decrease as a negative number.) The free cash flow for years 1 to 9 is $ ' million. (Round to three decimal places and enter a decrease as a negative number.) The free cash flow for year 10 is : - million. (Round to three decimal places and enter a decrease as a negative number.) b. If the cost of capital for this project is 13%, what is your estimate of the value of the new project? The value of the project is $ million. (Round to three decimal places.)