Otter Mills, a U. S.- based sawmill, is considering a project to export lumber products to Europe. A project analysis identifies that during the third year of the project, revenues would be euro (EUR) 4 million. Direct expenses are expected to be 35 percent, and indirect project- related expenses are EUR 0.8 million for that year. Assume that depreciation equals EUR 0.6 million and taxes are 30 percent. Otter wishes to calculate project USD-denominated cash flows for the third year. You are given the following additional information: current spot EURUSD equals 1.20, USD interest rate equals 2 percent, and EUR interest rate equals 1.5 percent. Use annual compounding.