You are a manager at Percolated Fiber, which is considering expanding its operations in synthetic fiber manufacturing. Your boss comes into your office, drops a consultant's report on your desk, and complains, "We owe these consultants

$1.3

million for this report, and I am not sure their analysis makes sense. Before we spend the

$28.9

million on new equipment needed for this project, look it over and give me your opinion." You open the report and find the following estimates (in millions of dollars):

PLEASE SOLVE (a) and also the Free Cash Flow in year 10

You are a manager at Percolated Fiber, which is considering expanding its operations in synthetic fiber manufacturing. Your boss comes into your office, drops a consultant's report on your desk, and complains, "We owe these consultants $1.3 million for this report, and I am not sure their analysis makes sense. Before we spend the $28.9 million on new equipment needed for this project, look it over and give me your opinion." You open the report and find the following estimates (in millions of dollars): o 1 29.000 17.400 Earnings Forecast Sales Revenue - Cost of Goods Sold = Gross Profit - General, Sales and Administrative Expenses - Depreciation = Net Operating Income Project Year 2 29.000 17.400 11.600 2.312 2.890 6.398 11.600 9 29.000 17.400 11.600 2.312 2.890 6.398 10 29.000 17.400 11.600 2.312 2.890 6.398 2.312 2.890 6.398 a. Given the available information, what are the free cash flows in years 0 through 10 that should be used to evaluate the proposed project? The free cash flow for year O is $ - 41.600 million. (Round to three decimal places.) The free cash flow for years 1 to 9 is $, million. (Round to three decimal places.)