08. Given the expected cash flow forecasts for ABC project, listed below, determine the NPV of the project given changes in the cash flow components using a 8% cost of capital. Assume that all variables remain constant, except the one you are changing. Term is 5 years. Sales $500,000, Depreciation $5,000, Variable Costs $190,000, Fixed Costs $40,000, Tax rate 30%. Initial Outlay -$60,000. Calculate Pre-Tax Profit (3 Marks), Tax Payable (3 Marks) and NPV (4 Marks) to equal a total of 10 Marks. Year 0 Year 1-10 500,000 Sales Less Cost Depreciation -5,000 Variable Costs -190,000 Fixed Costs -40,000 Profit Before Tax 265,000 Tax @30% -79,500 Profit After Tax 185,500 Add Depreciation 5000 Net Cash Flow After Tax -60,000 190,500