Infinity Inc. is considering a new four$$year expansion project that requires an initial fixed asset investment of $$2\mathrm{.}5$ million. The fixed asset will be depreciated straight$$line to zero over its four$$year tax life, after which it will be worthless. The project is estimated to generate $$2$ million in annual sales, with costs of $$800,000.$

a$)$ If the tax rate is $40$ percent, what is the OCF for this project? $(3$ points$)$

b$)$ Suppose the required return on the project is $13$ percent. What is the project$$s NPV$?(2$ points$)$