please answer both parts of this question

1. what are the free cash flows in years 0 1 2 and 3? (hint: also consider NWC)

2. calculate the NPV, IRR, MIRR (assuming the reinvestment rate is 11 percent), profitability index (PI) ratio, payback period. and discounted payback period for the projects.

Use the following information to answers questions 17 to 26. (Long Answer/Essay-primarily Chapter 13 but includes concepts from many chapters) You are the CFO of Micro Spinoff Inc. The company has 3,000,000 shares of common stock outstanding at a market price of $50 a share. Micro Spinoff just paid an annual dividend in the amount of $3.12 per share. The dividend growth rate is 5.8 percent annually, Micro Spinoff also has 70,000 bonds outstanding with a face value of $1,000 per bond that are selling at 115.372 percent of par. The bonds have a 12 percent coupon, pay interest semi-annually, and have 15 years to maturity. Finally, the firm has 400,000 shares of preferred stock outstanding at a market price of $58.48 a share. Preferred stocks pay dividend of 6.67 percent on its par value of $75.00. The firm is considering a three vear expansion. project (same operations as the existing projects of the firm) that requires an initial investment in a machine of $200,000. The increase in Net Working Capital (NWC) at time 0 is $10,000 that will be reduced to normal levels at the end of the project at time 3. The machine has a life of 4 vears and will be depreciated to 0 using straisht-line method. The Earnings Before Interest. Taxes, Depreciation. and Amortization (EBITDA) in the first year is $70,000 and this will grow at 6 percent a year. At the end of the project (year 3), the machine can be sold for $10,000. The firm's tax rate is 21 percent