Estimate the fixed capital required for this plant, taking that it is to be built in Australia in 2020. Use the bare module cost method. Assume that the project is ‘greenfield (grassroots) development.’ You may use CAPCOST spreadsheet for estimating the fixed capital. Once you have obtained the capital cost for greenfield development, inflate that value to 2020 value using cost inflation factors for the year CAPCOST estimations are applicable (2008). You have to find approximate CEPCI (Chemical Engineering Plant Cost Index) value for 2008 and 2020 (or 2019) and use them in your estimation. You may ignore the effect of location factor in the capital cost estimation. Note that the capital cost you estimate using CAPCOST is in US$. Therefore, you have to convert the inflated capital cost into Australian dollars using the current exchange rate (year 2020 or 2019) between US$ and A$. (15 MARKS) 2. Estimate total operating costs for the plant (expressed annually and per tonne of product) at the full plant output. (10 MARKS) 3. Estimate working capital requirements for the plant at the full output based on the following assumptions: a. 4 weeks of raw materials b. 6 weeks of finished products stock c. 1 month’s debtors d. 1 month’s creditors e. Materials in progress are 30% of finished product stock f. 4 weeks wages. (5 Marks) 4. Calculate the cash flows (after tax) for each year of the project life. Using the cash flow obtained, plot the cumulative cash flow diagram and determine the payback period. (15 MARKS) 5. Using the cash flow obtained in Question (4), calculate the discounted cash flows and then determine the Net Present Value and DCFR for the project.