EX6.6 Project Evaluation. The following table presents sales forecasts for Golden Gelt Giftware. The unit price is $40. The unit cost of the giftware is $25. \begin{tabular}{|c|c|c|c|c|c|} \hline Year & & 2 & 3 & 4 & Thereafter \\ \hline Unit sales & 22,000 & 30,000 & 14,000 & 5,000 & 0 \\ \hline \end{tabular} It is expected that net working capital will amount to 20% of sales in the following year. For example, the store will need an initial (year 0 ) investment in working capital of .2022,000$40 =$176,000. The plant and equipment necessary to establish the giftware business will require an additional investment of $200,000. This investment will be depreciated straight-line over 3 years. After 4 years, the equipment will have an economic and book value of zero. The firm's tax rate is 30%. a. What are project NPV, IRR, and Payback? b. Should the company proceed with this investment