OS FIUW Estimation and Risk Analysis Click here to read the eBook: Analysis of an Expansion Project PROJECT CASH FLOW Colsen Communications is trying to estimate the first year cash flow (at Year 1) for a proposed project. The financial staff has collected the following information on the project: Sales revenues $5 million Operating costs (excluding depreciation)3.5 million Depreciation 1 million Interest expense 1 million The company has a 40% tax rate, and its WACC is 13%. Write out your answers completely. For example, 13 million should be entered as 13,000,000 a. What is the project's cash flow for the first year (t-1)? Round your answer to the nearest dollar ck to Assignment Attempts: Average: 1 3. Problem 12.03 Click here to read the eBook: Analysis of an Expansion Project Problem Walk-Through AFTER TAX SALVAGE VALUE Karsted Alt Services is now in the final year of a project. The equipment originally cost $20 million, of which 80% has been depreciated. Karsted can sell the used equipment today for $5 million, and its tax rate is 40%. What is the equipments after-tax salvage value Round your answer to the nearest dollar Write out your answer completely. For example, 13 million should be entered as 13,000,000