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As a separate project (Project K), the firm is considering sponsoring a second pavilion at the upcoming Worlds Fair. The second pavilion would cost $650,000,

As a separate project (Project K), the firm is considering sponsoring a second pavilion at the upcoming Worlds Fair. The second pavilion would cost $650,000, and it is expected to result in $3 million of incremental cash inflows during its 1 year on operation. However, it would then take another year, and $3 million of cost to demolish the site and return it to its original condition.
The project is estimated to be of average risk, so its WACC is 8%.
What is Project Ks NPV?
What is Project Ks IRR?

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