The Juniper Network Company is considering a new 5-year expansion project that requires an initial fixed investment of $3.0 million. The fixed asset will be depreciated straight line to zero over its five year tax life, after which time it will be worthless. The applicable tax rate is 22%. Estimated annual sales for the project are $2.2 million with annual costs of $1.15 mm. The project will also require an initial investment in NWC of $140,000. The tax shield approach is defined as: [Select] Using the tax shield approach, OCF for years 1 through 5 are estimated at $ [Select] year per

The Juniper Network Company is considering a new 5 -year expansion project that requires an initial fixed investment of $3.0 million. The fixed asset will be depreciated straight line to zero over its five year tax life, after which time it will be worthless. The applicable tax rate is 22%. Estimated annual sales for the project are $2.2 million with annual costs of $1.15mm. The project will also require an initial investment in NWC of $140,000. The tax shield approach is defined as: Using the tax shield approach, OCF for years 1 through 5 are estimated at $ per year