3) Revenues generated by a new product are forecast as follows: Year 1 Revenues $40,000 2 30,000 3 20,000 4 10,000 Thereafter 0 Expenses are expected to be 30% of revenues, and working capital required in each year is expected to be 20% of revenues in the following year. The product requires an investment of $35,000 in plant and equipment. a. What is the total initial investment in the product at year zero? Don't forget initial working capital. 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 each year? c. If the opportunity cost of capital is 14%, what is the project NPV?