Question: answer the question with the red x next to it please. Your firm is contemplating the purchase of a new $465,000 computer-based order entry system.


Your firm is contemplating the purchase of a new $465,000 computer-based order entry system. The system wil be depreclated straight-line to zero over its 6 -year life. It will be worth $44,000 at the end of that time. You will be able to reduce wotking copital by $38,000 at the beginning of the project Working caprat witt revert back to normat at the end of the profect. Assume the tar rate is 24 percent What is the afertax salvage value of the equipment? Note: Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32. Suppose your required return on the project is 9 percent and your pretax cost savings ate $149.000 per year What is the aninual ocF? Note: Do not round intermediate calculations and round your answer to the nearest whole number, e.g. 32. What is the NPV of the project? Note: Do not round intermediate calculations and round your answer to 2 decimal piaces, e.9, 32.16 . Suppose your required return on the project is 9 percent and your pretax cost savings are $95,000 per year What is the onnual OCF? Note: Do not round intermediate calculations and round your answer to the nearest whole number, e.g.,32. What is the NPV of the project? Note: A negative answer should be indicated by a minus sign.Do not round intermediate calculations and found your answer to 2 decimal places, e.g., 32.46
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