res ls considering a product expansion project after receiving a favorable feasibility study for mion. The project requires an investment in machinery today of $15 million that can SJ industries revenues of $17mrpose straight-line to zero over four (4) years. The project will generate annual year. An immediate working which it paid $5 The be depreciated for tax million in year 1 -4 and annual expenses are projected to be $12 million pretax each capital investment of $1 million is required, and working capital will remain 50% of the at that level for the life of the project. At the end of year 4 t initial value of the working capital. Also at the for S4 million. The firm is taxed at 40% and the appropriate end of year 4, the company expects to sell the machinery discount rate is 1 0%. 16. How much is the initial outlay at year 0? a. Less than $10 million b. Between $10 milion and $17 million c. Between $17 million and $25 million Above $25 million d. 17. How much is the depreciation at year 1? a. Less than $2 million b. Between $2 million and $3 million c. Between $3 million and $4 million d. Between $4 million and $5 million 18. How much is the after-tax operating income at year 2? a. Less than $1 million b. Between $1 million and $3 million c. Between $3 million and $4 million d. Between $4 million and $5 million 19. How much is the total cash flow at year 4 a. $5 million b. c. d. Between $5 million and $6 million Between $6 million and $7 million Between $7 million and $8 million