Exhibit 9-2 The following data are projected for a possible investment project: 3 Revenues Cost of Goods Sold Depreciation EBIT 1 $120,000 $ 36,000 $ 70,000 $14.000 $140,000 $ 42,000 $ 50.000 $ 48.000 $160,000 $ 48,000 $ 30,000 $ 82.000 $180,000 $ 54,000 $ 10,000 $116,000 Refer to Exhibit 9-2. The project requires an initial investment of $330,000. Working capital is anticipated to be variable at 12% of revenues; the working capital investment must be made at the beginning of each period, and will be recaptured in full at the end of year 4. Therefore, the change in NOWC for Years 0, 1, 2 and 3 are: -14400, -2400, -2400-2400. The tax rate is 40% What is the initial cash outlay? $264,400 $252,400 $332,400 $344,400