Rad Power Bikes faces a corporate tax rate of 40%. Its CEO, Mike Radenbaugh is adding an e-bike" product line that will boost annual sales by $377,000 and expenses by $264,000. According to Radenbaugh's estimates, the e-bike project entails $173,000 in fixed assets that will be fully depreciated straight-line to a zero book value over the project's 6-year life. The depreciation tax shield is: Multiple Choice $25,133 $45,200 O $11,533 O $17,600 O $17,300 The town of Punxsutawney, PA just invested $319,500 to refurbish Gobbler's Knob (a well-known tourist attraction in the area). The Gobbler's Knob project is expected to produce cash inflows of $47,100 for 9 years and a cash inflow of $62,500 in Year 10. If Punxsutawney's cost of capital is 8.9%, what is the Gobbler's Knob project NPV? Multiple Choice $10,750.84 -$9,328.17 -$15,893.27 $83,375.17 $105,241.20 Eskom, Inc. has 4-year project in South Africa with an annual operating cash flow of $56,000. Eskom spent $23,300 on an Electricity Supply Solar Tower to start the project. At the end of the project, the Electricity Supply Solar Tower will have a book value of $5,020, but can be salvaged for $5,940. If Eskom's tax rate is 34%, what is the cash flow in Year 4? Note: Net working capital of $4,700 was needed at the start of the project. That money will be recovered at the end of the project. Multiple Choice $66,953 O $20,953 O O $56,927 $66,327 O o $64,620 Talon Metals is investing $765,600 today on the Tamarack Nickel project which is expected to last for four years. The Tamarack Nickel project will produce annual cash flows of $237,600 during each of the next 3 years, and a $274,800 cash flow during the project's final year. The IRR for the Tamarack Nickel project, based on this information, equals: Multiple Choice O 8.97% 10.17% O 11.66% O 9.57% 10.76%