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Revenues generated by a new fad product are forecast as follows: $65.000 50.000 40,000 30.000 Expenses are expected to be 40% of revenues, and working capital required in each year is expected to be 20% of revenues in the following year. The product requires an immediate Investment of $60,000 in plant and equipment a. What is the initial investment in the product? Remember working capital Initial investment s 73,000 b. If the plant and equipment are depreciated over 4 years to a salvage value of zero using straight-line depreciation, and the firm's tax rate is 40%, what are the project cash flows in each year? Assume the plant and equipment are worthless at the end of 4 years. (Do not round Intermediate calculations.) Year Cash Flow S 37.200 1 2 c. If the opportunity cost of capital is 15%, what is the project's NPV? (A negative value should be indicated by a missio n round Intermediate calculations. Round your answer to 2 decimal places.) NPY b. If the plant and equipment are depreciated over 4 years to a salvage value of zero using straight-line depreciation, and the firm's tax rate is 40%, what are the project cash flows in each year? Assume the plant and equipment are worthless at the end of 4 years not round Intermediate calculations) shoudindicated by c. the opportunity cost of capital is 15% what's the projects round intermediate calculations. Round your answer to 2 decim percent rounded Enter your answer d. What is project RR? (Do not round inter

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