Calculate the free cash flows below for vears 3 through 6

After spending $10,500 on client-development, you have just been offered a big production contract by a new client The contract will add $2071000 to your revenues for each of the next five years and it will cost you $961000 per year to make the additional product You will have to use some existing equipment and buy new equipment as well The existing equipment is fully depreciated, but could be sold for $471000 now If you use it in the project, it will be worthless at the end of the project You will buy new equipment valued at $281000 and use the 5-year MACRS schedule to depreciate it It will be worthless at the end of the project Your current production manager earns $791000 per year Since she is busy with ongoing projects, you are planning to hire an assistant at $431000 per year to help with the expansiorL You will have to immediately increase your inventory from $201000 to $3010011 It will return to $201000 at the end of the project Your company's tax rate is 21% and your discount rate is 1550K What is the NPV of the contract? (Note: Assume that the equpme - Cost of Goods Sold Gross Profit - Annual Cost Incremental Earnings + Depreciation - Incremental Working Capital - Opportunity Cost - Capital Investment Incremental Free Cash Flow Calculate the free cash flows below for years 3 through B: - Cost of Goods Sold Gross Profit - Annual Cost Incremental Earnings + Depreciation - Incremental Working Capital