A company is evaluating a project with the following details:

• Initial Investment: $1,000,000
• Annual Cash Flows: $250,000 for 5 years
• Salvage Value: $100,000 at the end of Year 5
• Discount Rate: 8%

Questions:

1. Calculate the Present Value (PV) of the annual cash flows.
2. Calculate the Present Value (PV) of the salvage value.
3. Determine the Net Present Value (NPV) of the project.
4. Assess whether the project should be accepted based on the NPV.