Question: i found a but I couldn't find b and c thanks foa nsweirng Solar Energy Corp. has to value a project that will run for

i found a but I couldn't find b and c thanks foa nsweirng

i found a but I couldn't find b and c thanks foa

Solar Energy Corp. has to value a project that will run for 3 years. The company has already spent $1 [1 million on research and development associated with the product. It is expected that the project will generate sales of $20G million per year. The xed costs associated with this project will be $1130 million per year. In addition. the company will need to make investment into its net working capital. with initial investment of $4D million [made in year [i]. then an investment of $2i] millionfyear for the next two years [years 'I and 2). The total investment in NWC will be recovered in the last year of the project's life. The equipment necessary for the project will cost $21G million and will be depreciated in a straight line manner to zero value over three years starting from year 1. Solar Energy has a marginal tax rate of 2WD and an average tax rate of 10%. A. Calculate the Unlevered Cash Flows from a project in years [1.1, 2, and 3. B. Calculate WAGE. using the fact that cost of equity is 20% and cost of debt is 5% and EfD=1 [3. Find the rm value using WAGE method

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