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The Campbell Company is considering adding a robotic paint sprayer to its production line. The sprayer's base price is $88 and it would cost another

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The Campbell Company is considering adding a robotic paint sprayer to its production line. The sprayer's base price is $88 and it would cost another $21,000 to install it. The machine falls into the MACRS 3-year class (the applicable MACRS depr rates are 33.33%,44.45%,14.81%, and 7.41% ), and it would be sold after 3 years for $624,000. The machine would rea increase in net working capital (inventory) of $12,000. The sprayer would not change revenues, but it is expected to save $458,000 per year in before-tax operating costs, mainly labor. Campbell's marginal tax rate is 35%. Cash outfiows, if any, be indicated by a minus sign. Do not round intermediate calculations. Round your answers to the nearest dollar. a. What is the Year-0 net cash flow? b. What are the net operating cash flows in Years 1, 2, and 3? Year 1:5 Year 2:$ Year 3: 5 c. What is the additional Year 3 cash flow (i.e, the after-tax salvage and the return of working capital)? d. If the project's cost of capital is 11%, what is the NPV of the project? 5 Should the machine be purchased

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