WebGuru, Inc. has developed a powerful new server that would be used for internet activities for businesses. It would cost $10 million at Year 0 to buy the equipment necessary to manufacture the server. The project would require net working capital at the beginning of each year in an amount equal to 10% of the year's projected sales; for example, NWC0 = 10%*(Sales1). The firm believes it could sell 1,000 units per year. The servers would sell for $25,000 per unit, and the firm believes that variable costs would amount to $18,000 per unit. After Year 1, the sales price and variable costs will increase at the inflation rate of 2.5% per year. The companys non-variable costs, excluding the depreciation, would be $1 million at Year 1 and would also increase at the 2.5% inflation rate per year. The server project would have a life of 6 years. If the project is undertaken, it must be continued for the entire 6 years. The equipment would be depreciated over the 6-year period, using MACRS rates (provided below). The estimated market value of the equipment at the end of the projects life is $200,000