(Rolated to Checkpoint 12.1) (Caiculating project cash flows and NPV) You are considering expanding your product line that currently consists of skatoboares to include gas-pewnred skateboards, and you feel you can sell 8,000 of these per yeas for 10 years (aftar which time this project is expected to shut down with nolar-pownrod skateboards taking overi. The gas skitcboirds would sell for $90 each with variable costs of $30 for each one produced, and annual fored costs associated with production would be $180, ono. In adgioon, there would be as $5, 300.000 initial expenditure associated with the purchase of new production equipment, It is assumed that this initial expenchure will be depreclated using the simplfied attright-line methed down to zero over 10 years. The project wil also require a one-time initial investment of $30.000 in net working capital associated with inventory, and this working capial itwestrnent wit be recovered when the projoct is shut down. Finally, assume that the firm's marginal tax rate is 30 percent. a. What is the indial cash outlay assoclated with this project? b. What are the annual net cash flows assoclated with this project for years 1 through 9 ? c. What is the terminal cash flow in year 10 (that is, what is the free cash flow in year 10 plus any afditonal cash flows associated with terminabicn of the project?? d. What is the project's NPV given a required rate of return of 7 percent? a. The initial cash outlay associated with this project is $1330000. (Round to the nearest dollar.) b. The annual net cash flows associaled with this project for yoars 1 through 9 are (Round to the nearest dollar)