Tesla Motor corp, is evaluating whether or not to deploy a specialized equipment. This equipment is estimated to generate an operating cash flows of $57,000 per year for 7 years. At the beginning of the project, inventory will decrease by $17,600, accounts receivables will increase by $21,800, and accounts payable will increase by $15,600. At the end of the project, net working capital will return to the level it was prior to undertaking the new project. The initial cost of the equipment is $255,000. The equipment will be depreciated straight-line to a zero book value over the life of the project The equipment will be salvaged at the end of the project creating an aftertax cash flow of $52,000. What is the net present value of this project given a required return of 10 2 percent? Multiple Choice 552 418 $63 408 $50 364 $60 349