Suppose ABC firm is considering an investment that would extend the life of one of its facilities for 5 years. The project would require upfront costs of $8M plus $(35+1)M investment in equipment. The equipment will be obsolete in 6 years and will be depreciated via straight-line over that period (Assume that the equipment can't be sold). During the next 5 years, ABC expects annual sales of 63M per year from this facility. Material costs and operating expenses are expected to total 45M and 10.8M, respectively, per year. ABC expects no net working capital requirements for the project, and it pays a tax rate of 39%. ABC has 74% of Equity and the remaining is in Debt. If the Cost of Equity and Debt are 12% and 6% respectively, should they take the project? The answers to be provided are: a) WACC (in percentage, thus 3.8% must be entered as 3.8); b) Incremental FCF at 0; c) Incremental FCF from year 1 to year 5; d) NPV. All dollars answers must be submitted in Millions, thus 4.56M must be entered as 4.56. Round to the second decimal in each case.

WACC= %

Incremental FCF at 0= M

Incremental FCF from 0 to 5= M

NPV= . M