Axis Chemical Co. lost a lot of its accounting information because of a problem with its electronic record-keeping system. Its CFO knows that the IRR of project Alpha is 14.6%; however, the CFO does not know how much Axis Chemical Co. originally invested in the project. The cash flows for Project Alpha are listed as follows:

Year Cash Flow

Year 1 $375,000

Year 2 $425,000

Year 3 $400,000

Year 4 $450,000

1: The finance team is trying to calculate the initial investment using the information available to them. IRR is the cost of capital at which NPV equals $0. Using this information, the initial investment of the project turns out to be?

2: Project Alpha has the same risk as a firms average project. The company has a WACC of 10%. Based on this information, the projects NPV is?