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Project cash flow and NPV. The managers of Classic Autos incorporated plan to manufactures Thunderbird (7957 replicas). The necessary foundry equipment will cost a total

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Project cash flow and NPV. The managers of Classic Autos incorporated plan to manufactures Thunderbird (7957 replicas). The necessary foundry equipment will cost a total of $4.400.000 and will be depreciated using a five-year MACRS In The sales manager has an estimate for the sale of the classic Thunderbirds. The annual sales volume will be as follows Year one: 240 You four 360 Year two: 270 Your five: 300 Year three: 360 of the sale price is $20.000 per car, variable costs are $17.000 per car, and find costs are $1,200.000 aby what is the annual operating canh flow it the tax rate is 30%? The equipment is sold for salvage for $500,000 at the end of year Ive Networking capital increases by 5500.000 at the beginning of the project(year o and is reduced back to its original level in the final year. Find the internal rate of return for the project using the incremental cash flows First, what is the annual operating cash flow of the project for year 12 (Round so the nearest dotat) Data table MACRS Fixed Annual Expense Percentages by Recovery Class Click on this icon to download the data from this table 2. 1 2 3 4 5 La 33.33% 4445% 14 89% 7415 Se 20.00% 32.00% 19,20% TOONS 100 1440 11.52% 24. 17.94 12494 8.89 8.3% 11.52 lalo 11.52% 5.76% 7 4.45 737% 656 6.56% 3.55% 5 SSN 3289 9 10 11 Print Done

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