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Expansion Project A Fim is considering the Introduction of a Product. The Firm's Marginal Tax Rate k 40% The Expected Life of the Project is 3 Years The Project requires an initial increase in Net Operating Working Capital of $6,000 The Project requires an Investment in Equipment. The cost of the Equipment is $50,000 and there is an Additional Charge of $20,000 for Shipping and Installation. The Equipment Falls into the 3 Year MACRS Depreciation Class and the Expected Salvage Value at the End of the Project is $15.000 The Firm has already spend S1,500 on a Marketing Analysis that thows an increase in Revenues from the Project of 550.000 in Year 1. 540.000 in Year 2 and 540,000 in Yara The Project will also lead to a reduction in operating costs of $20.000 in Your 1.512.000 in Year 3 and 50.000 in Year 3 Year MACRS Depreciation Rate War 1:33% Year 2:45 Year 3 15 Year 4: 7% What is the Cash Flow at Year 2? O $44.800 $43.00 $42.400 54.340 Question 32 1 pts Expansion Proiect A Firm is considering the dictionariet. The Finn's Marginal Tax Ratels 40% The Expected Lite the bacan The Project requires an initial Increase in Net Operating Working Capital of $1,500 The Project requires an investment in Equipment. The cost of the Equipment is $28,000 and there is an Additional Charge of $12.000 tor Shipping and Installation. The Equipment Falls into the 3-Year MACRS Depreciation Class and the Expected Salvage Value at the end of the Project is 56,000 The Firm has already spend 51.500 on a Marketing Analysis that shows an Increase in Revenues from the Proiect of $2.000 in Year 1.512,000 in Year 2 and 510.000 in Year 3 The Project will also lead to a reduction in operating costs of 2.000 in Year 1.85.000 in Year 2 and $4,000 in Year 3. 3-Year MACRS Depreciation Rates: Year 1:33. Year 2:45. Year 3: 15% Year: 7% What is the Cash Flow at Year 3? Question 32 1 pt Expansion Project A Firm is considering the Introduction of a Product. The Firm's Marginal Tax Rates 40% The Expected Life of the Project is 3 Years The Project requires an Initial increase in Net Operating Working Capital of $1.500 The Project requires an Investment in Equipment. The cost of the Equipment is $28,000 and there is an additional charge of $12,000 for Shipping and installation The Equipment Fails into the 3-Year MACRS Depreciation Class and the expected Salvage Value at the End of the Project is $6,000 The Firm has already spend $1.500 on a Marketing Analysis that shows an Increase in Revenues from the Project of 58.000 in Year 1, $12,000 in Year 2 and $10,000 in Year a. The Project will also lead to a reduction in operating costs of $2.000 in Year 1. 55.000 in Year 2 and 54,000 in Year 3. 3-Year MACRS Depreciation Rates Year 1:33. Year 2:45% Year 3: 15% Year 4: 7% What is the Cash Flow at Year 3? 517.420 ST 517240 517140 Question 31 1 pts Exmansion Project A Firm as considering the Introduction of a Product. The Fre's Marina Tatate la 40% The Expected Life of the Project is 3 years The Project requires an Initial increase in Net Operating Working Capital of $6.000 The Project requires an investment in Equipment. The cost of the Equipment is 550,000 wd there is an Additional Charys of $20.000 for Dipping and stitution. The Equipment Falls into the 3-Year MACRS Depreciation Class and the Expected Salvage Valow at the End of the Project is $15.000 The Firm has already spend $1,500 on Marketing Analysis that shows an increase in Revents from the Project of 550.000 in Year 1.340.0002 540.000 in Your 3 The Project will also lead to a reduction in operating costs of $20.000 in Year 1.512.000 in Year 2 and 58.000 in Your 3-Year MACRS Depreciation Rates: Year 1:33% Year 2:45. Var 3:15% Year 4:7% What is the Cash Flow at Year 2? O $44.600 O $43,800 $42.400 0 $42.240

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