NPV. Mathews Mining Company is looking at a project that has the following forecasted sales: first-year sales are 6,400 units, and sales will grow at 13% over the next four years (a five-year project). The price of the product will start at $128.00 per unit and will increase each year at 5%. The production costs are expected to be 61% of the current year's sales price. The manufacturing equipment to aid this project will have a total cost (including installation) of $1,450,000. It will be depreciated using MACRS, and has a seven-year MACRS life classification. Fixed costs will be $60,000 per year. Mathews Mining has a tax rate of 28%. What is the operating cash flow for this project over these five years? Find the NPV of the project for Mathews Mining if the manufacturing equipment can be sold for $85,000 at the end of the five-year project and the cost of capital for this project is 11%. 3 What is the operating cash flow for this project in year 1? Data Table (Round to the nearest dollar.) MACRS Fixed Annual Expense Percentages by Recovery Class Year 5-Year 1 20.00% 2 3-Year 33.33% 44.45% 14.81% 7.41% 3 4 32.00% 19.20% 11.52% 11.52% 5.76% 7-Year 14.29% 24.49% 17.49% 12.49% 8.93% 8.93% 8.93% 4.45% 5 10-Year 10.00% 18.00% 14.40% 11.52% 9.22% 7.37% 6.55% 6.55% 6.55% 6.55% 3.28% 6 7 8 9 10 Enter your answer in the answer box and then click Check Answer. ? 11