Question: Someone did a wrong answer that I posted last time, please fix it correctly. Thanks Caspian Sea Drinks is considering the production of a diet

 Someone did a wrong answer that I posted last time, please

Someone did a wrong answer that I posted last time, please fix it correctly. Thanks

Caspian Sea Drinks is considering the production of a diet drink. The expansion of the plant and the purchase of the equipment necessary to produce the diet drink will cost $26.00 million. The plant and equipment will be depreciated over 10 years to a book value of $2.00 million, and sold for that amount in year 10 . Net working capital will increase by $1.32 million at the beginning of the project and will be recovered at the end. The new diet drink will produce revenues of $8.57 million per year and cost $2.13 million per year over the 10 -year life of the project. Marketing estimates 10.00% of the buyers of the diet drink will be people who will switch from the regular drink. The marginal tax rate is 23.00%. The WACC is 12.00%. Find the NPV (net present value). Answer format: Currency: Round to: 2 decimal places

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