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- Marketing Once the XC-750 is operational next year, the exira capacity is expected to generate $10.20 millon per year in additional sales, which wit

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- Marketing Once the XC-750 is operational next year, the exira capacity is expected to generate $10.20 millon per year in additional sales, which wit cortinue for the 10 yatar iffo of the machine. - Operations, The distuption caused by the instalation wil decrease sa'es by $4.98 millon this year. As with Bilinghamis existing procucts, the cost of gooce fer the products frectuced by the XCC-750 is expected to be 74\% of their sale price, The increased production will also reguire increased inventory on hand of $1.00 mition during the life of the project including yoar 0. - Human Resourses: Tho oxpansion will require additional sales and administrative personnel at a cost of $2.01 milion per yeac. to be 9% of the cost of goods sold. BAlingham's marginal corporate tax rate is 21%. a. Determine the incremental eamings from the purchase of the XC-750. b. Determine the tree cash fow trom the purchase of the x<.750. c. if the appropriate cont of capital for expansion is compule npv purchase. a. delermine incremental earnings from purchase calculaie xc-760 below vis withoul xcrrso io nearest dolae e fleots ve. without xc.760>

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