I need help with number one and 5 what would be the after tax net returns for the first and second year?! And what is the present value of after-tax net returns

View 2 T Normal No Spa Heading1 Heading 2 Title Subtitle Paragraph 2. Your firm is considering a fast-food concession at the World's Fair in College Station. The cash flow patternis somewhat unusual because you must build the stands, operate them for 2 years, and then tear the stands down at the end of the third year to restore the sites to their original condition (the stand sits idle for one year). Your finn requires a 15% pre-tax return on capital Your firm anticipates having a marginal tax rate of 20% for the next three years. The IRS will allow your firm to depreciate the initial cost of the investment over two years. The cost of tearing down the booth is considered a tax deductible expense. You estimate that it will cost $900,000 to build and $200,000 to tear down at the end of the third year (assume the terminal value and after-tax teminal value are zero and treat the tear-down cost as an expense at the end of the third year) Your revenues will be $850,000 and operating expenses will be $200,000 at the end of each of the first two years from operating the concession stand. A. Lay out the cash flows for the investment B. Calculate the net present value (NPV-$17,046) C. Is this an acceptable investment? TOSHIBA