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The following will be used for the next three questions a company is contemplating a new project they expect to have an annual sale of
The following will be used for the next three questions a company is contemplating a new project they expect to have an annual sale of $750,000 and the cost of $250,000 the Nessus Siri equipment will cost a total of $800,000 and will be depreciated on a straight line basis to zero over a project life five year project the firms expect to be able to dispose of manufacturing equipment for $150,000 at the end of the project there is no necessary investment in working capital assume a 35% tax rate and 12% required return
what is the NPV of this project assume and after-tax salvage value of $104 do not use the a TSV you already calculated this way you can still get this problem correct if you calculated the ATS be wrong.
$104,000**
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