5. XYZ Corporation, a firm in the 34% tax bracket with a 15% required rate of return (discount rate), is considering a new project. This project involved the introduction of a new product. This project is expected to last 5 years and then the product line will be terminated. Given the following information, determine the net cash flows associated with the project, the projects net present value and the profitability index. Apply the appropriate decision criteria. Cost of new plant and equipment: $14,800,000 Shipping and installation costs: $200,000 Unit sales: Year Unit Sold 1 70,000 2 120,000 3 120,000 4 80,000 5 70,000 Sales price per unit: $300/unit in year 1-4, $250/unit in year 5 Variable cost per unit: $140/unit Annual fixed costs: $700,000 Working capital requirements: There will be an initial working capital requirement of $200,000 just to get production started. For each year, the total investment in net working capital will equal 10% of the dollar value of sales for that year. Thus, the investment in working capital will increase during years 1 through 3, then decrease in year 4. Finally, all working capital is liquidated at the termination of the project at the end of year 5. The depreciation method: Use the simplified straight-line method over 5 years. It is assumed that the plant and equipment will have no salvage value after 5 years.

Please provide step to solve with a BA ii Plus calculator instead of excel thank you!