Chat Now

# It wants the operating cash flow for each of the ten years, and the NPV if the manufacturi

### It wants the operating cash flow for each of the ten years, and the NPV if the manufacturi

It wants the operating cash flow for each of the ten years, and the NPV if the manufacturing equipment can be sold for 150,000 at the end of the ten year project and the cost of capital for this project is 7%.

Do Homework- Ramcy Rizek Secure https://www mathxl.com Student PlayerHomework.aspx?homeworkl 432 3030 8 uestion d 48 ushed fal e&cld; 45213458ce ter in yes Business Finance OS Homework: Chapter 10 Homework Score: 0 of 1 pt P10-18 (similar to) Save 7018(6 complete) Hw Score: 75%, 6 of 8 pts Question Help * NP. Mi etti Restaurants is looking at a project with the following forecasted sales: first-year sales quantity c 3 000 w h an annual gro th rate of 4.00% er the next ten years The sales p ce per unit will start at S42.00 and will grow at 2.00% per year. The production costs are expected to be 55% of he a ent years sales pnce he manufacturing equipment his proyect wil have a total cost including installation of \$2.400,000. It will be depreciated using MACRS,, and has a seven-year MACRS life classification. Fixed costs will be 330 000 per year. Migietti Restaurants has a tax rate o 3 %. What is the operating cash c v or his project over hee ten years, nd the NP ral he pr e Nig i ti e turns if the manufacturing equipment can be sold for \$150,000 at the end of the ten-year project and the cost of capital for this project is 796 ue What is the operating cash flow for this project in year 1? \$((Round to the nearest dollar)

Abhinav 04-Dec-2019