1. Suppose a toy manufactures is faced with the following collection of investment projects:
-A Adding author packaging line to the production process
-B Adding pollution control equipment to avoid environmental fines
-C computerizing the doll molding equipment
-D Introducing a child version of an existing adult board game
2. How does a capital loss on the disposition of an asset generate a cash inflow
3. If a firm replaces its production line with equipment with lower depreciation expense, will the tax cash flow from depreciation to an inflow or an outflow? Explain