You are evaluating a project for The Ultimate recreational tennis racket,

guaranteed to correct that wimpy backhand. You estimate the sales price of

The Ultimate to be $$380$ per unit and sales volume to be $1,000$ units in year $1$ ;

$1,250$ units in year $2$; and $1,325$ units in year $3.$ The project has a $3-$year life.

Variable costs amount to $$215$ per unit and fixed costs are $$100,000$ per year.

The project requires an initial investment of $$159,000$ in assets, which can be

depreciated using bonus depreciation. The actual market value of these assets

at the end of year $3$ is expected to be $$33,000.$ NWC requirements at the

beginning of each year will be approximately $20$ percent of the projected sales

during the coming year. The tax rate is $21$ percent and the required return on

the project is $10$ percent. $($Use SL depreciation table$)$

What will the cash flows for this project be$?$

Note: Negative amounts should be indicated by a minus sign. Round your

answers to $2$ decimal places.

$2$ decimal places required. You are evaluating a project for The Ultimate recreational tennis racket, guaranteed to correct that wimpy backhand. You estimate the sales price of The Ultimate to be $$380$ per unit and sales volume to be $1,000$ units in year $1$; $1,250$ units in year $2$; and $1,325$ units in year $3.$ The project has a $3-$year life. Variable costs amount to $$215$ per unit and fixed costs are $$100,000$ per year. The project requires an initial investment of $$159,000$ in assets, which can be depreciated using bonus depreciation. The actual market value of these assets at the end of year $3$ is expected to be $$33,000.$ NWC requirements at the beginning of each year will be approximately $20$ percent of the projected sales during the coming year. The tax rate is $21$ percent and the required return on the project is $10$ percent. $($Use SL depreciation table$)$