A three year project has an initial requirement of 900 000 for fixed assets and...

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A three year project has an initial requirement of 900 000 for fixed assets and 300 000 for net working capital The fixed assets will be depreciated to a zero book value over the 3 year life of the project The estimated salvage value is 120 000 All of the net working capital will be recouped at the end of the 3 years The annual operating cash flow is 700 000 and the discount rate is 10 percent The tax rate is 28 percent What is the cash flow in year 0 700 000 820 000 1 200 000 900 000

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