QUESTION $12$

Vermont Technology is considering a project that would last for $3$ years and have a cost of capital of $21\mathrm{.}72$ percent. The relevant level of net working capital for the project is expected to be $$1,800\mathrm{.}00$ immediately $($at year $0)$; $$4,860\mathrm{.}00$ in $1$ year; $$15,200\mathrm{.}00$ in $2$ years; and $$0\mathrm{.}00$ in $3$ years. Relevant expected revenue, costs, depreciation, and cash flows from capital spending in years $0,1,2,$ and $3$ are presented in the following table. The tax rate is $50\mathrm{.}00$ percent. What is the net present value of this project?

Revenue

Costs

Depreciation

$\backslash$table$[[$Year $0,$Year $1,$Year $2,$Year $3],[$$$0\mathrm{.}00,$$$12,600\mathrm{.}00,$$$12,600\mathrm{.}00,$$$12,600\mathrm{.}00$