Question: Please help and show work, Thank you!! Problem 10-11 Calculating Project Cash Flow from Assets [LO1] Esfandair Entesprises is considering a few throo-year expansion project
Problem 10-11 Calculating Project Cash Flow from Assets [LO1] Esfandair Entesprises is considering a few throo-year expansion project that requires an initial fixed asset investment of \\( \\$ 2.35 \\) millon. The foxed asset wat be depreclated straight-tine to zero over its threet-year tax life. The project is estimated to generate \\( \\$ 1,745,000 \\) in annual sales, with costs of \\( \\$ 655,000 \\). The project requires an initial investment in net working capital of \\( \\$ 320,000 \\), and the fixed esset will have a markes value of \\( \\$ 285,000 \\) at the end of the project. a. If the tax rate is 22 percent, what is the project's Year o net cash flow? Year \\( 1 ? \\) Year 2 ? Yoar 3 ? (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and enter your answers in dellars, not miliens of dellars. e.9, \\( 1,234,567 \\) ) b. If the required return is 11 percent, what is the progect's NPV? (Do not round intermediate calculations and round your answer to 2 declmal places, e.g., 32.16.)
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