Need all calculations, steps and explanations, no excel solutions please

dellobj

3. Hubrey Home Inc. is considering a new three-year expansion project that requires an initial fixed asset investment of $3.9 million. The fixed asset falls into Class 10 for tax purposes (CCA rate of 30 percent per year), and at the end of the three years can be sold for a salvage value equal to its UCC. The project is estimated to generate $2,650,000 in annual sales, with costs of $840,000. a- If the tax rate is 35 percent, what is the OCF for each year of this project? b- Suppose that the required return on the project is 12 percent. What is the project's NPV