Question: Advanced Financials Management QUESTION 4 A project will generate before tax cost savings of $112,000 per year, for five years, create additional depreciation expense of

Advanced Financials Management
Advanced Financials Management QUESTION 4 A project will generate before tax cost

QUESTION 4 A project will generate before tax cost savings of $112,000 per year, for five years, create additional depreciation expense of $70,000 per year, and result in the following networking capital needs. 5 Time Accts Rec Inventory Accts Pay 0 100,000 200,000 120,000 1 150,000 300,000 180,000 24 150,000 300,000 180,000 Oooh 0 0 The company's marginal tax rate is 30% What is the project's cash flow in year 1 (t = 1)

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