Question: Q 4 . After estimating a project's NPV , the analyst is advised that the fixed capital outlay will be revised upward by $ 1

Q4. After estimating a project's NPV, the analyst is advised that the fixed capital outlay will be revised
upward by $100,000. The fixed capital outlay is depreciated straight-line over a four-year life. The tax
rate is 40%, and the required rate of return is 5%. No changes in cash operating revenues, cash
operating expenses, or salvage value are expected. What is the effect on the project NPV?
Q4. After estimating a project's NPV, the analyst is advised that

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