GENERAL INSTRUCTIONS: ENTER YOUR ANSWER WITHOUT THE $ SIGN AND COMMA, BUT FORMATTED IN DOLLARS ROUNDED TO THE

NEAREST DOLLAR, for instance if you compute $$69,289\mathrm{.}6478$ then ENTER $69290$ AS YOUR ANSWER. DO NOT ROUND IN YOUR

CALCULATION STEPS $($use calculator memory functions$)$ TO AVOID ROUNDING ERRORS. There is a little bit of tolerance built into

accepting$/$rejecting your answer, but if you round in your intermediate calculations you may be too far off.

Prime Petroleum Inc. is considering an acquisition of a new production facility in order to expand production of its main product, a

gasoline additive Gas Gain. The cost of construction $($first cost$)$ is $$7,000,000.$ The annual operating cost is projected to be $$800,000.$ The

facility will be liquidated in $17$ years, resulting in a salvage value inflow of $$2,000,000.$ Assuming MARR of $9\%,$ compute the annual

worth of the project's cash flows, and type in your answer expressed as a cost $($do not include negative sign with your answer$).$

Answer: