2. Consider a project to supply Detroit with 37,000 tons of machine screws annually for automobile production. You will need an initial $5,200,000 investment in threading equipment to get the project started; the project will last for five years. The accounting department estimates that annual fixed costs will be $985,000 and that variable costs should be S185 per ton; accounting will depreciate the initial fixed asset investment straight-line to zero over the fi year project life. It also estimates a salvage value of $500,000 after dismantling costs. T arketing department estimates that the automakers will let the contract at a selling price of $280 per ton. The engineering departm investment of $410,000. You require a return of 13 percent and face a marginal tax rate of 38 percent on this project. ent estimates you will need an initial net working capital