Question 1 15.0 points possJIe (graded. results hidden) SpeedyTrucking offers transportation services connecting the main US markets. The company is very well known for being upfront of technological advances. Currently, SpeedyTrucking is planning to invest in autonomous trucks for their most demanded lanes. Before making the investment, the company is analyzing the economic value of adding autonomous trucks to their current flee . For this purpose, the company considers a 5-year time horizon. a tax rate of 25.0%, and a discount rate of 13.0%. Ignore ination. Incremental Income statementlin millions of US Year 1 Year 2 Year 3 Year 4 Year 5 dollars) Sales 150 160 170 180 190 COGS 90 96 102 108 114 Gross income .7 ? ? ? ? Operating expenses 20 20 22 22 22 Operating income (EBITDA) ? ? ? ? ? Depreciation .7 ? ? ? ? Earnings before interest and taxes (EBIT) ? .7 ? .7 .7 Income tax ? ? ? ? ? Net operating income after tax (NOPAT) .7 ? ? ? ? SpeedyTrucking would require an investment of$100 million to acquire the new trucks (to be paid in Year 0), The company uses the straighteline method to depreciate their trucks in a period of 5 years. You can assume a salvage value of $0 at the end ofthe Seyear norizon. Additional working capital to install complementary equipmentwould be required starting in Year 1. as shown in the fol owing table: ncremental income statement (in millions of US dollars) Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Depreciation ? ? ? ? ? Net capital expenditures -100 Net working capital investment -5 -5 -5 -5 20 Free cash flows ? ? ? Note: A negative figure represents a cash outflow. What are the projected NOPAT values? Enter your answer in millions of dollars with two decimals. Year 1: Year 2: Year 3: Year 4: Year 5: Submit You have used 0 of 2 attempts SaveQuestion 2 15.0 points possible (graded, results hidden) What are the projected free cash flows? Enter your answer in millions of dollars with two decimals. Year 0: Year 1: Year 2: Year 3: Year 4: Year 5: Submit You have used 0 of 2 attempts SaveQuestion 4 5.0 points p055ible (graded, results hidden) Regarding the autonomous trucks' investment, which of the following statements are true? Select all correct answers. [I The investment is still economically attractive for a discount rate of 21.0%. [I The investment is still economically attractive for a discount rate of 27.0%. [1 The investment is still economically attractive for a discount rate of 23.0%. I: The investment is still economically attractive for a discount rate of 29.0%. E] None of the above. Submit You have used 0 of2 attempts Save