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need this as soon as possible The project requires an investment of $10 million. The equipment may be sold for $2 million by the end
need this as soon as possible
The project requires an investment of $10 million. The equipment may be sold for $2 million by the end of year 5. The company applies straight-line depreciation over 5 years to zero. The company expects to sell 750,000 pounds of product a year at a price of $20 a pound. Total expense is $10 million. Account receivables are 1/6 of revenues. Inventories are 15% of following year's expense. The company's tax rate is 35%. The discount rate is 12%. a) Find the operating cashflow and CFFA b) Find NPVStep by Step Solution
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