Task 10 The firm is evaluating an expansion project. The projected cash flows and other data are shown in the table: Project Data Project life 3 years Unit sales (per year) 1,200 Price (per unit) 60.00 Variable cost (per unit) 20.00 Fixed cost (per year) 3,000 Fixed capital investments 60,000 Fixed assets are depreciated straight-line over 3 years to book value of zero Net working capital investments 15,000 Salvage value of fixed assets at the end of three years 20,000 Marginal tax rate 20% Cost of capital 18% 1) Assuming that fixed capital investments and working capital investments are made at the start of the project, what is the initial cash outlay? 2) Determine the after-tax operating cash flows