Mad Taco is considering the purchase of a $1,500,000 flat top grill. The grill has an...

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Mad Taco is considering the purchase of a $1,500,000 flat topgrill. The grill has an economic life of 8 years and will be fullydepreciated using straight line method. The grill is expected toproduce 59,000 tacos per year for the next 8 years, with eachcosting $1.50 to make and priced at $5. Assume the discount rate is8% and the tax rate is 21%. Mad Taco expects the market value ofthe grill to be $200,000, 8 years from now. Find the following:
a.) Calculate the net present value for the project (round to 2decimals)
b.) Calculate the operating cash flow at the end of year 1(enter a negative value and round to 2 decimals)
c.) Calculate the initial cash outflow for the grill (i.e. thetime 0 cash flow) (enter a negative value and round to 2decimals)
d.) Calculate the after tax salvage value at the end of year 8(round to 2 decimals)
e.) Calculate the annual depreciation value for the grill (roundto 2 decimals)
f.) Calculate the book value of the grill at the end of year 5(round to 2 decimals)

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Mad Taco is considering the purchase of a $1,500,000 flat topgrill. The grill has an economic life of 8 years and will be fullydepreciated using straight line method. The grill is expected toproduce 59,000 tacos per year for the next 8 years, with eachcosting $1.50 to make and priced at $5. Assume the discount rate is8% and the tax rate is 21%. Mad Taco expects the market value ofthe grill to be $200,000, 8 years from now. Find the following:a.) Calculate the net present value for the project (round to 2decimals)b.) Calculate the operating cash flow at the end of year 1(enter a negative value and round to 2 decimals)c.) Calculate the initial cash outflow for the grill (i.e. thetime 0 cash flow) (enter a negative value and round to 2decimals)d.) Calculate the after tax salvage value at the end of year 8(round to 2 decimals)e.) Calculate the annual depreciation value for the grill (roundto 2 decimals)f.) Calculate the book value of the grill at the end of year 5(round to 2 decimals)