Solve the following problem. Write all answers on the bond paper provided. Show all solutions. No solution, no cred it. Round-off to 2 decimal places. Put final answer on space provided. [15 points] You must analyze a potential new product - a compound that Cory Materials' research and development team developed for use in the residential construction industry. Cory's marketing manager thinks the company can sell 115,000 tubes per year for 3 years at a price of $3.25 each, after which the product will be obsolete. The required equipment would cost $180,000. Additional working capital of $20,000 is also needed. Variable costs would be 60% of sales revenues; fixed costs (excluding depreciation) would be $70,000 per year, and the equipment will be subject to 3- year straight line depreciation with $0 salvage value. Cory's tax rate is 40% and it uses a 10% discount rate. a. Find the required initial investment. b. Find the project's annual net cash flows from years 1 to 3 c. Find the project NPV