Calculating project npv down under boomerang

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Problem 6-3 Calculating Project NPV Down Under Boomerang. Inc., is considering a new 3-year expansion project that requires an initial ?xed asset investment of $145 million. The fixed asset will be depreciated straight-line to zero over its 3-year tax life. after which it will be worthless. The project is estimated to generate $395,600 in annual sales, with costs of $T05DDG. The tax rate is 22 percent and the required return 'Is 10 percent. What is the project's NPV'?

Reference no: EM133069583

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