calculate the NPV

ABC Company is considering adding a new line to its product mix, and the capital budgeting analysis is being conducted by Sidney Johnson, a recently graduated MBA, The production line would be set up in unused space in ABC' main plant. The machinery's invoice price would be approximately $250,000; another $20,000 in shipping and insurance charges would be required; and it would cost an additional $30,000 to install the equipment. The machinecy has an economic life of 4 years, and ABC has obtained a tax ruling which places the equipment in the MACRS 3-year class, The machinery is expected to have a salvage value of $11,000 after 4 years of use, The new line would generate incremental sales of 1,500 units per year for four years at an incremental cost of $100 per unit in the first year, excluding depreciation. Each unit can be sold for $200 in the first year, The sales price and cost are expected to increase by 6% per year due to inflation. Further, to handle the new line, the firm's net operating working capital( () would have to increase by an amount equal to 10% of sales revenues (t+1). The firm's tax rate is 40 percent, and its overall weighted average cost of capital is 10 percent. \begin{tabular}{lc} Xear. Depreciation Rate \\ 1 & 33% \\ 2 & 45 \\ 3 & 15 \\ 4 & 7 \end{tabular} I Calculate NPY of the project. (Hint: You have to calculate Year0, Year1, Year2, Year3, and Year 4 cash flows)