Back to Assignment Attempts Keep the Highest/15 5. Problem 12.08 (New Project Analysis) 3 ebook You must evaluate the purchase of a proposed spectrometer for the R&D department. The purchase price of the spectrometer including modifications is $220,000, and the equipment will be fully depreciated at the time of purchase. The equipment would be sold after 3 years for $72,000. The equipment would require an $8,000 Increase in net operating working capital (spare parts inventory). The project would have no effect on revenues, but it should save the firm $51,000 per year in before-tex labor costs. The firm's marginal federal-plus-state tax rate is 25% a. What is the initial investment outlay for the spectrometer, that is, what is the Year O project cash How? Enter your answer as a positive value Round your answer to the nearest dollar $ b. What are the project's annual cash flows in Years 1, 2, and 3? Do not round intermediate calculations, Round your answers to the nearest dollar Year 1$ Year 2 Year If the WACCIS 13, should the spectrometer be purchased? -Select