t=1 is 3,212,509

t=2 is 3,212,509

ATSV is 4,500,000

t=10 is 10,712,500

What is the Npv?

Question #5.

also, it is not -2,966,787 as another chegg gave me this answer and it was wrong.

If the project is undertaken, at t=0 the company will need to increase its invento receivable by $1,500,000, and its accounts payable by $2,000,000. This net operat the end of the project's life (t = 10). If the project is undertaken, the company will realize an additional $8,000,000 in (i.e. sales in each year are $8,000,000) The company's operating cost (not including depreciation) will equal 50% of sales. The company's tax rate is 35 percent. Use a 10-year straight-line depreciation schedule. Att = 10, the project is expected to cease being economically viable and the factor $4,500,000 (assume land has a book value equal to the original purchase price). The project's WACC = 10 percent Assume the firm is profitable and able to use any tax credits (i.e. negative taxes). What is the operating cash flow @t=1? Round to nearest whole dollar value. 3.212500 Question 2 Aero Motorcycles is considering opening a new manufacturing facility in Fort Worth to m of solar-charged motorcycles (who wants to ride on a cloudy day anyway?) The proposed features: The firm just spent $300,000 for a marketing study to determine consumer demand (@t Madondantadithetonwillhabian Season for $2.000 5. 7 9. Assume the firm is profitable and able to use any tax credits (i.e. negative taxes). What is the operating cash flow @t=2? Round to nearest whole dollar value. 3.212.500 Question 3 Aero Motorcycles is considering opening a new manufacturing facility in Fort Worth to of solar-charged motorcycles (who wants to ride on a cloudy day anyway?) The propos features; The firm just spent $300,000 for a marketing study to determine consumer demand Aero Motorcycles purchased the land the factory will be built on 5 years ago for $2,0 is, it does not have a mortgage). The land has a current market value of $2,600,000 The project has an initial cost of $20,000,000 (excluding land, hint: the land is not sut If the project is undertaken at to the company will need to increase its inventories receivable by $1,500,000, and its accounts payable by $2,000,000. This net operating we the end of the project's life (t = 10). If the project is undertaken, the company will realize an additional $8,000,000 in sales (i.e. sales in each year are $8,000,000) The company's operating cost (not including depreciation) will equal 50% of sales. The company's tax rate is 35 percent. Use a 10-year straight-line depreciation schedule. Att - 10, the project is expected to cease being economically viable and the factory (ine $4,500,000 (assume land has a book value equal to the original purchase price). The project's WACC - 10 percent Assume the firm is prohtable and able to use any tax credits (ie negative taxes). What are the after tax proceeds from the sale of the factory (ie, ATSV)? Round to neare 4,500,000 O 10,712,500 Question 5 Aero Motorcycles is considering opening a new manufacturing facility in Fort Worth to meet of solar-charged motorcycles (who wants to ride on a cloudy day anyway?) The proposed pro features: The firm just spent $300,000 for a marketing study to determine consumer demand (@t=0) Aero Motorcycles purchased the land the factory will be built on 5 years ago for $2,000,000 is, it does not have a mortgage). The land has a current market value of $2,919.667. The project has an initial cost of $20,000,000 (excluding land, hint: the land is not subject to If the project is undertaken, at t=0 the company will need to increase its inventories by $3,5 receivable by $1,500,000, and its accounts payable by $2,000,000. This net operating working the end of the project's life (t = 10). If the project is undertaken, the company will realize an additional $8,000,000 in sales over ea fi.e. sales in each year are $8,000,000) The company's operating cost (not including depreciation) will equal 50% of sales. The company's tax rate is 35 percent. Use a 10-year straight-line depreciation schedule. At t = 10, the project is expected to cease being economically viable and the factory (including $4,500,000 (assume land has a book value equal to the original purchase price). The project's WACC - 10 percent Assume the firm is profitable and able to use any tax credits (i.e. negative taxes). What is the project's NPV? Round to nearest whole dollar value. 2.763.705 Question 6 D . Question 5 5 pts Aero Motorcycles is considering opening a new manufacturing facility in Fort Worth to meet the demand for a new line of solar charged motorcycles (who wants to ride on a coudy day anyway?) The proposed project has the following features: The firm just spent $300,000 for a marketing study to determine consumer demand (@t-o). Aero Motorcycles purchased the land the factory will be built on 5 years ago for $2.000,000 and owns it outright (that is, it does not have a mortgage). The land has a current market value of $2,553,048. . The project has an initial cost of $20,000,000 (excluding land, hint: the land is not subject to depreciation), If the project is undertaken, att - the company will need to increase its inventories by $3.500.000, accounts receivable by $1,500,000, and its accounts payable by $2,000,000. This net operating working capital will be recovered at the end of the project's life (t = 101. If the project is undertaken, the company will realize pn additional $8.000.000 in sales ever each of the next ten years. Die states in each year are $8,000,000) The company's operating cost (not including depreciation will equal 50% of sales The company's tax rate is 35 percent Use a 10-year straight-line depreciation schedule. Att - 10, the project is expected to cease being economically viable and the factory (including land) will be sold for 54,500,000 fassume land has a book value equal to the original purchase price). The project's WACC - 10 percent . Assume the firm is profitable and able to use any tax credits (le, negative taxe What is the project's NPV? Round to nearest whole dollar value. U Question 6 centri The grill will cost 553.000,00 and will be deprecated according to If the project is undertaken, at t=0 the company will need to increase its invento receivable by $1,500,000, and its accounts payable by $2,000,000. This net operat the end of the project's life (t = 10). If the project is undertaken, the company will realize an additional $8,000,000 in (i.e. sales in each year are $8,000,000) The company's operating cost (not including depreciation) will equal 50% of sales. The company's tax rate is 35 percent. Use a 10-year straight-line depreciation schedule. Att = 10, the project is expected to cease being economically viable and the factor $4,500,000 (assume land has a book value equal to the original purchase price). The project's WACC = 10 percent Assume the firm is profitable and able to use any tax credits (i.e. negative taxes). What is the operating cash flow @t=1? Round to nearest whole dollar value. 3.212500 Question 2 Aero Motorcycles is considering opening a new manufacturing facility in Fort Worth to m of solar-charged motorcycles (who wants to ride on a cloudy day anyway?) The proposed features: The firm just spent $300,000 for a marketing study to determine consumer demand (@t Madondantadithetonwillhabian Season for $2.000 5. 7 9. Assume the firm is profitable and able to use any tax credits (i.e. negative taxes). What is the operating cash flow @t=2? Round to nearest whole dollar value. 3.212.500 Question 3 Aero Motorcycles is considering opening a new manufacturing facility in Fort Worth to of solar-charged motorcycles (who wants to ride on a cloudy day anyway?) The propos features; The firm just spent $300,000 for a marketing study to determine consumer demand Aero Motorcycles purchased the land the factory will be built on 5 years ago for $2,0 is, it does not have a mortgage). The land has a current market value of $2,600,000 The project has an initial cost of $20,000,000 (excluding land, hint: the land is not sut If the project is undertaken at to the company will need to increase its inventories receivable by $1,500,000, and its accounts payable by $2,000,000. This net operating we the end of the project's life (t = 10). If the project is undertaken, the company will realize an additional $8,000,000 in sales (i.e. sales in each year are $8,000,000) The company's operating cost (not including depreciation) will equal 50% of sales. The company's tax rate is 35 percent. Use a 10-year straight-line depreciation schedule. Att - 10, the project is expected to cease being economically viable and the factory (ine $4,500,000 (assume land has a book value equal to the original purchase price). The project's WACC - 10 percent Assume the firm is prohtable and able to use any tax credits (ie negative taxes). What are the after tax proceeds from the sale of the factory (ie, ATSV)? Round to neare 4,500,000 O 10,712,500 Question 5 Aero Motorcycles is considering opening a new manufacturing facility in Fort Worth to meet of solar-charged motorcycles (who wants to ride on a cloudy day anyway?) The proposed pro features: The firm just spent $300,000 for a marketing study to determine consumer demand (@t=0) Aero Motorcycles purchased the land the factory will be built on 5 years ago for $2,000,000 is, it does not have a mortgage). The land has a current market value of $2,919.667. The project has an initial cost of $20,000,000 (excluding land, hint: the land is not subject to If the project is undertaken, at t=0 the company will need to increase its inventories by $3,5 receivable by $1,500,000, and its accounts payable by $2,000,000. This net operating working the end of the project's life (t = 10). If the project is undertaken, the company will realize an additional $8,000,000 in sales over ea fi.e. sales in each year are $8,000,000) The company's operating cost (not including depreciation) will equal 50% of sales. The company's tax rate is 35 percent. Use a 10-year straight-line depreciation schedule. At t = 10, the project is expected to cease being economically viable and the factory (including $4,500,000 (assume land has a book value equal to the original purchase price). The project's WACC - 10 percent Assume the firm is profitable and able to use any tax credits (i.e. negative taxes). What is the project's NPV? Round to nearest whole dollar value. 2.763.705 Question 6 D . Question 5 5 pts Aero Motorcycles is considering opening a new manufacturing facility in Fort Worth to meet the demand for a new line of solar charged motorcycles (who wants to ride on a coudy day anyway?) The proposed project has the following features: The firm just spent $300,000 for a marketing study to determine consumer demand (@t-o). Aero Motorcycles purchased the land the factory will be built on 5 years ago for $2.000,000 and owns it outright (that is, it does not have a mortgage). The land has a current market value of $2,553,048. . The project has an initial cost of $20,000,000 (excluding land, hint: the land is not subject to depreciation), If the project is undertaken, att - the company will need to increase its inventories by $3.500.000, accounts receivable by $1,500,000, and its accounts payable by $2,000,000. This net operating working capital will be recovered at the end of the project's life (t = 101. If the project is undertaken, the company will realize pn additional $8.000.000 in sales ever each of the next ten years. Die states in each year are $8,000,000) The company's operating cost (not including depreciation will equal 50% of sales The company's tax rate is 35 percent Use a 10-year straight-line depreciation schedule. Att - 10, the project is expected to cease being economically viable and the factory (including land) will be sold for 54,500,000 fassume land has a book value equal to the original purchase price). The project's WACC - 10 percent . Assume the firm is profitable and able to use any tax credits (le, negative taxe What is the project's NPV? Round to nearest whole dollar value. U Question 6 centri The grill will cost 553.000,00 and will be deprecated according to