Cardinal Company is considering a project that would require a $2,805,000 investment in equipment with a useful life of five years. At the end of five years, the project would terminate and the equipment would be sold for its salvage value of $400,000. The companys discount rate is 14%. The project would provide net operating income each year as follows:

Sales			$	2,741,000
Variable expenses				1,125,000
Contribution margin				1,616,000
Fixed expenses:
Advertising, salaries, and other fixed out-of-pocket costs	$	642,000
Depreciation		481,000
Total fixed expenses				1,123,000
Net operating income			$	493,000

Required:

What is the present value of the projects annual net cash inflows?