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The Juniper Network Company is considering a new 5 - year expansion project that requires an initial fixed investment of $ 2 . 5 million.
The Juniper Network Company is considering a new year expansion project that requires an initial fixed investment of $ million. The fixed asset will be depreciated straight line to zero over its five year tax life. The applicable tax rate is The company's analyst expects that the fixed asset can be sold for $ at the end of its life.
Estimated annual sales for the project are $ million with annual costs of $ The project will also require an initial investment in NWC of $
The net salvage cash flow associated with the project is $ Select ; this will change the net cash flow in year to $
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