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P8-10 (similar to) Question Help You are a manager at Percolated Fiber, which is considering expanding its operations in synthetic fiber manufacturing. Your boss comes

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P8-10 (similar to) Question Help You are a manager at Percolated Fiber, which is considering expanding its operations in synthetic fiber manufacturing. Your boss comes into your office, drops a consultant's report on your desk, and complains, "We owe these consultants $1.8 million for this report, and I am not sure their analysis makes sense. Before we spend the $22 million on new equipment needed for this project, look it over and give me your opinion." You open the report and find the following estimates (in millions of dollars)- Click on the Icon located on the top-right corner of the data table below in order to copy its contents into a spreadsheet) Project Year Earnings Forecast (S million) 10 Sales revenue Cost of goods sold Gross profit Selling, general, and administrative expenses 32.000 32.000 9.200 9.200 12.800 12.800 1.760 1.760 2.200 2.200 32.000 32.000 19.200 19.200 12.800 12.800 1.760 2 200 1.760 2.200 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 O is Smillion. (Round to three decimal places and enter a decrease as a negative number.)

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