You are a manager at Northern Flbre, which is considering expanding its operations in synthetic fibre manufacturing. Your boss comes into your office, drops a oonsultant's teport on your desk, and complains, "We owe these consultants $1.6 million for this report, and I am not sure their analysis makes sense. Before we spend the $23 milion on new equipment naeded for this project, look at over and give me your opinion." You open the report and find the following estimates (in millions of dollars): Al of the estimates in the report seem correct. You note sat the consultants used straight-ine depreciation for the new ecuipment that win be purchased today (year 0 ), which is what the accounting department recommended for financial reporting purposes. CRA allows a CCA rate of 45% on the equipment for tax purposes. The report concludes that because the project wil increase eamings by $4.329 milion per year for 10 years, the project is worth $43.29 milion. You think back to your giory days in finance ciass and realize there is more work to be done! Finst you note that the consultants have not factored in the tact that the project will recsaire $13 million in working capial up front (year 0 ), which will be fully recovered in year 10 , Next you see they have attribused $1,84 million of selling, general and administrative expenses to the project but you know that $0,92 million of this amount is overnead that will be inourred even if the project is not accepted. Finaly, you know reat accounting earnings are not the fight thing to focus onl a Given the avaliable information, what are the free cash floss in years 0 though 10 that should be used to evaluate the proposed project