QUESTION 21 23 point Section it Short answer questions 02 Needle and Thread Inc. is considering expanding one of its production facilities to build a new line of sewing kits. The project would require a $850,000 capital investment and will be equally depreciated straight-line) over its 4 year life. They believe they can salvage $250,000 for the equipment at the end of the project. Incremental sales are expected to be $1,000,000 annually for the 4 year period with cash operating expenses of 43% of sales. The company would also have to commit initial working capital to the project of 5700,000. The company is subject to a marginal tax rate of 30% and investors require a 10% return on projects with a similar risk A What is the initial cash outlay associated with this project (FCF In Year 02 (0.5 point) B. What are the annual net cash flows associated with this project for Years 1 through 3 (FCF in Year 1-377 (0.6 point) c. What is the terminal cash flow in year 4 (FCF in Year 4)? (0.6 point) D. Determine the project's NPV. (0.6 point) For the toolbar.press ALT+F10 (PO) or ALT-FN-F10 (Mac). BIUS Paragraph Open Sans.ca... 14px Til Click Save and Submit to save and submit. Click Save All Answers to save all answers. DELL E