Gateway Communications is considering a project with an initial fixed assets cost of $1.57 million that will be depreciated straight-line to a zero book value over the 9 year life of the project. At the end of the project the equipment will be sold for an estimated $238,000. The project will not change sales but will reduce operating costs by $395,000 per year. The tax rate is 24 percent and the required return is 11,3 percent. The project Will require $51,000 in net working capital, which will be recouped when the project ends. What is the project's NPV? Nuitiple choice 5398.882 4339.627 5371469 Bruno's Lunch Counter is expanding and expects operating cash flows of $29,300 a year for 6 years as a result. This expansion requires $96,300 In new fixed assets. These assets will be worthless at the end of the project. In addition, the project requires $7,200 of net working capital throughout the life of the project. What is the net present value of this expansion project at a required rate of return of 11 percent? Muripie choice 533.883 $32.099 $27655 Gateway Communications is considering a project with an initial fixed assets cost of $1.57 million that will be depreciated straight-line to a zero book value over the 9 year life of the project. At the end of the project the equipment will be sold for an estimated $238,000. The project will not change sales but will reduce operating costs by $395,000 per year. The tax rate is 24 percent and the required return is 11,3 percent. The project Will require $51,000 in net working capital, which will be recouped when the project ends. What is the project's NPV? Nuitiple choice 5398.882 4339.627 5371469 Bruno's Lunch Counter is expanding and expects operating cash flows of $29,300 a year for 6 years as a result. This expansion requires $96,300 In new fixed assets. These assets will be worthless at the end of the project. In addition, the project requires $7,200 of net working capital throughout the life of the project. What is the net present value of this expansion project at a required rate of return of 11 percent? Muripie choice 533.883 $32.099 $27655