Chapter 9 Homework 11 Bottoms Up Diaper Service is considering the purchase of a new industrial washet It can purchase the washer for $7.200 and sell its old washer for $2,500. The new washer will last for 6 years and save $1700 a year in expenses. The opportunity cost of capital is 15%, and the firm's tax rate is 40% .. If the firm uses straight-line depreciation to an assumed salvage value of zero over 6-year life, what is the annual operating cash flow of the project in years 0 to 6? The new washer will in fact have zero salvage value after 6 years, and the old washer is fully depreciated. (Negative amount should be indicated by a minus sign.) Annual operating cash flow in year Annual operating cash flow in years 1 to 6 UROPE B OSS (5.700) 1.500 S sted by minucign. Do not lculations, Round b. What is project NPV? (Negative amount should be in your answer to 2 decimal places.) NPV S 2325 c. What is NPV of the firm uses MACRS depreciation with a year to intermediate calculations. Round your answer to 2 decimal places.) use the S c hed (Do not found NPV S 58 41