A company is trying to decide whether it should accept or reject a new 3-year project...

(a) What is the project's year 0 total cash flow

(b) What is the project's estimated year 1 total cash flow?

(c) What is the project's estimated year 2 total cash flow?

(d) What is the project's estimated year 3 total cash flow?

(e) Based on the above, calculate the Net Present Value of this project.

A company is trying to decide whether it should accept or reject a new 3-year project. If accepted, the project requires an immediate investment into fixed assets in the amount of $6.2 million. These fixed assets fall into the 3-year MACRS class (MACRS Table). At the end of the project they are expected to have a market value of $478,800, and this will take place after 3 years since the launch of the project. It would also be necessary to invest into cash and other types of net working capital in the amount of $684,000. The company believes that the project will be able to generate $5,472,000 in annual sales revenues, and that the annual costs of goods sold will equal $2,188,800. The corporate tax rate is 33 percent. The annual rate of return that is required for this project is 14 percent. (Do not round your intermediate calculations.) Required: (a)What is the project's year o total cash flow? Click to select) (b)What is the project's estimated year 1 total cash flow? (Click to select) (c) What is the project's estimated year 2 total cash flow? Click to select) (d)What is the project's estimated year 3 total cash flow? (Click to select) (e)Based on the above, calculate the Net Present Value of this project (Click to select)