Your firm is considering adding a new plant for the production of a chemical compound. You will operate the plant for 5 years. You also know: The new plant will cost $1.1M today (beginning of first year). IRS rules prescribe straight-line depreciation for the new plant over 10 years. The new plant has a salvage value of $600,000 at the end of the 5th year. Revenues are expected to be $300,000 annually and manufacturing costs are 50,000 annually. Both costs and revenues occur at the end of a year. Net working capital is estimated to be 10% of revenues at the end of years 1 - 4 and will be recovered at the end of year 5. The corporate tax rate is 35% and the discount rate is 10%. Should your firm add the new plant? (20 points)