You want to build a factory to make envelopes.. 1. It will cost $20.25 to build and install. 2. Expect $4.5 in annual after tax cash flows for 10 years starting at the end of year 1. 3. At the end of 10 years you sell the plant for $4; it had been depreciated to a tax value of $1. 4. Your tax rate is 25%. 5. Your WACC is 9%. 6. Your cost of debt is 6%. 7. The market return for equities is 11%. What is the NPV? $20 $30 $10 $5 $15