PleaseHelp!

A. The free cash flow for the first year of Epiphany's project is closest to:

	$32,225
	$45,000
	$43,000
	$32,532
	$25,000

B. The net present value (NPV) for Epiphany's Project is closest to:

	$0
	$28,772
	$1351
	-$4825
	$4825

C. The free cash flow for the last year of Epiphany's project is closest to:

	$35, 352
	$34,253
	$32, 225
	$48, 123
	$43,000

Epiphany Industries is considering a new capital budgeting project that will last for three years. Epiphany plans on using a cost of capital of 12% to evaluate this project. Based on extensive research, it has prepared the following incremental cash flow projects: 0 Year Sales (Revenues) - Cost of Goods Sold (50% of Sales) - Capital Cost Allowance = EBIT - Taxes (35%) = unlevered net income + Capital Cost Allowance + changes to working capital - capital expenditures 1 100,000 50,000 13,500 36,500 12,775 23,725 13,500 -5000 2 100,000 50,000 22,950 27,050 9468 17,582 22,950 -5000 3 100,000 50,000 16,065 33,935 11,877 22,058 16,065 10,000 -90,000