Please help me answer this. The answer is not 52368, 52369 or 39618.

NPV: Taxes and Accelerated Depreciation

Assume that United Technologies is evaluating a proposal to change the company's manual design system to a computer-aided design (CAD) system. The proposed system is expected to save 9,000 design hours per year; an operating cost savings of $45 per hour. The annual cash expenditures of operating the CAD system are estimated to be $200,000. The CAD system requires an initial investment of $550,000. The estimated life of this system is five years with no salvage value. The tax rate is 35 percent. United Technologies has a cost of capital of 14 percent.

Assume that management intends to use double-declining balance depreciation with a switch to straight-line depreciation (applied to any under depreciated balance) starting in Year 4.

Determine the project's net present value. Round your answer to the nearest dollar. $Answer

QUESTION 49 ncorrect Points out of 1.00 Flag question NPV: Taxes and Accelerated Depreciation Assume that United Technologies is evaluating a proposal to change the company's manual design system to a computer-aided design (CAD) system. The proposed system is expected to save 9,000 design hours per year; ain operating cost savings of $45 per hour. The annual cash expenditures of operating the CAD system are estimated to be $200,000. The CAD system requires an initial investment of $550,000. The estimated life of this system is five years with no salvage value. The tax rate is 35 percent. United Technologies has a cost of capital of 14 percent. Assume that management intends to use double-declining balance depreciation with a switch to straight-line depreciation (applied to any under depreciated balance) starting in Year 4. Determine the project's net present value. Round your answer to the nearest dollar. $52,368 Check Save Answers Previous page Finish attempt