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You are working on a bid to build a bridge per year for the next three years. This project requires the purchase of $ 1
You are working on a bid to build a bridge per year for the next three years. This project requires the purchase of $ of equipment that will be depreciated using straight line depreciation to a zerobook value over the project's life. Ignore bonus depreciation. The equipment can be sold at the end of the project for $ You will also need $ in net working capital over the life of the project. The fixed costs will be $ per year and the variable costs will be $ per bridge. Your required rate of return is percent for this project and your tax rate is percent. What is the minimal amount, rounded to the nearest $ you should bid per bridge? Note: years annuity factors of required return
Value needed to be input below:
"OCF Operating Cash Flow:
Net Working capital:
Capital spending:
OCF needed to be for the NPV to be :
Depreciation:
Net income:
Sales revenue Net income Tax Operating cost:
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