A new factory at Arcata requires an initial outlay of $4.5 million to be paid immediately. The factory will last for eight additional years, after which it can be sold for a salvage value of $2,000,000. Sales will be $1.2 million during the first year of operation and will grow at a rate of 8 percent a year after that variable costs will be 35 percent of sales and fixed costs will be $250,000 and grow at a rate of 5% per year. All costs are in cash. Assume cash flows occur at year-end. At a 8 percent required return. What is the net present value of this project and is the factory an attractive investment?