hent: Chapter 12 - EOC Questions (CNOW) Assignment Score 3000 Save Submit Assignment for Grading Problem 12.08 (New Project Analysis) Question of 10 Check My Work (2 remaining) eBook You must evaluate the purchase of a proposed spectrometer for the R&D department. The purchase price the spectrometer including modifications is $210,000, and the equipment will be fully depreciated at the time of purchase. The equipment would be sold after 3 years for 566,000. The equipment would require an 511,000 Increase in net operating working capital (spare parts Inventory). The project would have no effect on revenues, but it should save the firm $23,000 per year in bofore- tax labor costs. The firm's marginal federal-plus-state tax rate is 259 a. What is the initial investment outlay for the spectrometer, that is what is the Year O project cash flow? Enter your answer as a positive valun. Round your answer to the nearest dollar b. What are the project's annual cash flows in Years 1, 2, and 37 Do not round intermediate calculations. Round your answers to the nearest dollar Year 11 s Year 2: $ Year 3: 5 c. If the WACC is 10%, should the spectrometer be purchased? Sed Check My Work (2 remaining Problem 12.0 (New Project Analysis Question of 10 Subu Agent for Grading Save