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Bourque Enterprises is considering a new project. The project will generate sales of $1.3 million, $2 million, $1.9 million, and $1.4 million over the next

Bourque Enterprises is considering a new project. The project will generate sales of $1.3 million, $2 million, $1.9 million, and $1.4 million over the next four years, respectively. The fixed assets required for the project will cost $1.9 million and will be eligible for 100 percent bonus depreciation. At the end of the project, the fixed assets can be sold for $160,000. Variable costs will be 25 percent of sales and fixed costs will be $480,000 per year. The project will require NWC equal to 15 percent of sales that must be accumulated in the year prior to sales. The required return on the project is 12 and the tax rate is 23 percent. What is the NPV of the project?

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