Problem One Manigault Industries is considering an expansion project. The proposed project would have a 4-year life along with the following features: . The necessary equipment is priced at $90,000 The engineers require a cost of $3,000 to install the equipment The equipment will be depreciated over 4 years using the following depreciation rates: 33% (year 1), 45% (year 2), 15% (year 3) and 7% (year 4) If the project is undertaken, at t = 0 the company will need to increase its inventories by $50,000 and its accounts payable will rise by $30,000. The company will realize an additional $500,000 in sales over each of the next four years. The company's operating costs (excluding depreciation) will equal $200,000 a year. The company's tax rate is 40%. At t = 4, the equipment will be sold for $30,000. The weighted average cost of capital "WACC" is 10%. Use the above information to solve the below questions. 1- Calculate the change in Net Working Capital (ANWC) * $50,000 $30,000 $80,000 $20,000 None of the above 2- Calculate the Fixed Capital Investment (FCI) value * $93,000 $113,000 $200,000 $500,000 None of the above 3- Calculate the initial Cash Flow value * $113,000 $45,200 $30,000 $118,000 None of the above 4- Calculate the Cash Flow for 1st year * $500,000 $200,000 $161,568 $192,276 None of the above 5- Calculate the Cash Flow for the 2nd year * $196,740 $154,890 $200,000 $30,000 None of the above 6- Calculate the Cash Flow for the 3rd year * $286,000 $20,000 $185,580 $200,000 None of the above 7- Calculate the Cash Flow for the 4th year * $182,604 $185,000 $176,094 $117,396 None of the above 8- Calculate the Book Value of the equipment at termination * $30,050 $10,500 $6,510 $0 None of the above * 9- Calculate the Termination Value (TV) $38,000 $61,050 $45,485 $35,636 O None of the above 10- Calculate the NPV value * $514,496 O $272,500 -$296,235 -$300,250 None of the above