Question: 1-13 Part Question. PLEASE DO ALL. ill give a rating if correct. Part 1 of 13 Points: 0 of 1 Save Project cash flow and

Part 1 of 13 Points: 0 of 1 Save Project cash flow and NPV. The mariapers of Classic Autos Incorporated plan to manufacture classic Thunderbirds (1957 roplicas) The necessary foundry equipment wilt cost a total of 54,200,000 and will be depreciated using a fiveyear MACRS The sales manager has an estimate for the sale of the classic Thunderbirds. The annual sales volume will be as follows Year ono 250 Year four 380 Year two 280 Your tivo 300 Year three: 360 If tho sales price is $28,000 per car, variable costs are $20,000 per car, and fixed costs are $1,200.000 annually, what is the annual operating cash flow is the tax rate is 30% 2 The equipment is sold for salvage for $500,000 at the end of year five Networking capital increases by 5600,000 at the beginning of the project (year ) and is reduced back to its original tovel in the final year Find the internal cate of toturn for the project using the incrementat cash flows. First, what is the annual operating cash flow of the project for year 1 (Round to the nearest dollar - X Data table MACRS Fixed Annual Expense Percentages by Recovery Class Click on this icon to download the data from this table U th TH 3-Year 33.33% 44.45% 14.81% 7 41% Year 1 2 3 4 5 6 7 8 9 10 11 5-Year 20.00% 32.00% 19 20% 11.52% 11.52% 5.76% 7-Year 14.29% 24.49% 17 49% 12.49% 8.93% 8.93% 8.93% 4.45% 10-Year 10.00% 18.00% 14.40% 11.52% 9.22% 7.37% 6.55% 6.55% 6.55% 6.55% 3.28% Print Done
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