Question: pleaseeeee answer both Using the information in the following table, what is the incremental operating net cash flow per year of the project for year

Using the information in the following table, what is the incremental operating net cash flow per year of the project for year 1-19? Dunaway Industries is cvaluating the idea of expanding their production facility in Cobb County. The CFO gathered the following data. - Dunaway Industrics spent $500,000 researching other sites for their expansion. - The equipment needed for the expansion will cost $25,600,000 fully installed. The equipment will be depreciated over 20 years to a salvage value of $1,000,000. Dunaway Industries uses straight-line depreciation. If Dunaway aecepts the project, the company will sell the equipment for salvage value (i.e., $1,000,000 ) at the end of the life of the project. - If Dunaivay Industries adds the new equipment, sales are expected to increase by $17,400,000 and costs are expected to increase by $10,000,000. - The appropriate tax rate for Dunaway Industries is 30% - The capital of the firm includes 70% of equity and 30% of debt. - Dunaway Industries recently issued a bond with 30 years to maturity that pays a coupon of 7.50% semiannually. The $1,000 par bond sold for $956.77. - The market believes that Dunaway Industries will pay a dividend of $2.42 (D1 2.42 ) on their common stock next year and that the dividend will grow at 4.00% forever. The current stock price is $22.00. 1) $5,552,000 2) $5,567,000 3) $5,549,000 4) $5,900,000 - Dunaway Industries spent $500,000 researching other sites for their expansion. - The equipment needed for the expansion will cost $25,600,000 fully installed. The equipment will be depreciated over 20 years to a salvage value of $1,000,000. Dunaway Industries uses straight-line depreciation. If Dunaway accepts the project, the company will sell the equipment for salvage value (i.e., $1,000,000 ) at the end of the life of the project. - If Dunaway Industries adds the new equipment, sales are expected to increase by $17,400,000 and costs are expected to increase by $10,000,000. - The appropriate tax rate for Dunaway Industries is 30% - The capital of the firm includes 70% of equity and 30% of debt. - Dunaway Industries recently issued a bond with 30 years to maturity that pays a coupon of 7.50% semiannually. The $1,000 par bond sold for $956.77. - The market believes that Dunaway Industries will pay a dividend of $2.42 (D1=2.42) on their common stock next year and that the dividend will grow at 4.00% forever. The current stock price is $22.00. 1) $5,552,000 2) $5,567,000 3) $5,549,000 4) $5,900,000 5) $5,237,000 Using the information in the following table, what is the incremental operating net cash flow per year of the project for year 1-19? Dunaway Industries is cvaluating the idea of expanding their production facility in Cobb County. The CFO gathered the following data. - Dunaway Industrics spent $500,000 researching other sites for their expansion. - The equipment needed for the expansion will cost $25,600,000 fully installed. The equipment will be depreciated over 20 years to a salvage value of $1,000,000. Dunaway Industries uses straight-line depreciation. If Dunaway aecepts the project, the company will sell the equipment for salvage value (i.e., $1,000,000 ) at the end of the life of the project. - If Dunaivay Industries adds the new equipment, sales are expected to increase by $17,400,000 and costs are expected to increase by $10,000,000. - The appropriate tax rate for Dunaway Industries is 30% - The capital of the firm includes 70% of equity and 30% of debt. - Dunaway Industries recently issued a bond with 30 years to maturity that pays a coupon of 7.50% semiannually. The $1,000 par bond sold for $956.77. - The market believes that Dunaway Industries will pay a dividend of $2.42 (D1 2.42 ) on their common stock next year and that the dividend will grow at 4.00% forever. The current stock price is $22.00. 1) $5,552,000 2) $5,567,000 3) $5,549,000 4) $5,900,000 - Dunaway Industries spent $500,000 researching other sites for their expansion. - The equipment needed for the expansion will cost $25,600,000 fully installed. The equipment will be depreciated over 20 years to a salvage value of $1,000,000. Dunaway Industries uses straight-line depreciation. If Dunaway accepts the project, the company will sell the equipment for salvage value (i.e., $1,000,000 ) at the end of the life of the project. - If Dunaway Industries adds the new equipment, sales are expected to increase by $17,400,000 and costs are expected to increase by $10,000,000. - The appropriate tax rate for Dunaway Industries is 30% - The capital of the firm includes 70% of equity and 30% of debt. - Dunaway Industries recently issued a bond with 30 years to maturity that pays a coupon of 7.50% semiannually. The $1,000 par bond sold for $956.77. - The market believes that Dunaway Industries will pay a dividend of $2.42 (D1=2.42) on their common stock next year and that the dividend will grow at 4.00% forever. The current stock price is $22.00. 1) $5,552,000 2) $5,567,000 3) $5,549,000 4) $5,900,000 5) $5,237,000
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