Use the following information to solve the next three problems. acquisition of a new You have been asked by the president of your company to evaluate the pro special-purpose truck. The truck's basic price is $50,000, and it will cost another $10,000 to modify it for special use by your firm. The truck falls in the MACRS 3-year class, and it will be sold after three years for $20,000. Use of the truck will require an increase in net operating working capital (spare parts inventory) of $2,000. The truck will have no effect on revenues, but it is expected to save the firm $20,000 per year in before-tax operating costs, mainly labor. The firm's marginal tax rate is 40 percent. The three-year MACRS schedule is as follows: Year Percentage 33.3333% 44.4444% 14.8149% 7.4074 % 4 13. What is the cash flow at year 0? a. -$50,000 b. -$52,600 c. -S60,000 d. -$62,000 e. None of the above 14. What is the operating cash flow in Year 1? a. $12,000 b. $17,333 c. $18,667 d. $20,000 e. none of the above 15. If the cost of capital for this project is 10 percent. What is its NPV? a. -$13,398 b. -$11,896 c. $ 3,047 d. $ 1,544 e. None of the above