An investor is planning to buy an asset which will cost 5000000. The asset has a useful life of 5 years and will have a scrap value of 500000 at the end of the fifth year. There is a 60% chance that the asset will bring in additional revenue of 1500000 per year and a 40% chance that the asset will bring in additional revenue of 1200000 per year for five years and will incur additional costs of 300000 per year for five years. The machine will also require additional investment in working capital of 600000 on installation. The tax rate is given as 40%. Assume that depreciation is provided on straight line basis. The investors required rate of return is given as 10%: Required i. Determine cash flows from this project.