QUESTION 5: A new electronic process monitor costs $990,000. This cost could be depreciated at 30 percent per year (CCA Class 10). The new monitor also requires us to increase net working capital by $47,200 when we buy it. Further suppose that the monitor could be worth $100,000 in five years. The new monitor would save $460,000 per year before taxes and operating costs. If we require a 15 percent return, what is the NPV of the purchase? Assume a tax rate of 40 percent. QUESTION 4: A proposed new project has projected sales of $164,000, costs of $87,000, and CCA (depreciation) of $15,200. The tax rate is 35 percent. Calculate operating cash flow using the four different approaches described in the chapter and verify that the answer is the same in each case