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Can you please show me how they got the answer? STEP BY STEP! 5. XYZ is considering a project that would last for 3 years

Can you please show me how they got the answer? STEP BY STEP!

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5. XYZ is considering a project that would last for 3 years and have a cost of capital of 19.40 percent. The relevant level of net working capital for the project is expected to be $2,161.90 immediately (at year 0); $4,850.00 in 1 year; $14,100.00 in 2 years; and $0.00 in 3 years. Relevant expected revenue, costs, depreciation, and cash flows from capital spending in years 0, 1, 2, and 3 are presented in the following table. The tax rate is 53.90 percent. What is the net present value of this project? . Year 0 Year 1 Year 2 Year 3 Revenue $ 0.00 $12,500.00 $13,100.00 $10,900.00 Costs $ 0.00 $3,570.00 $3,640.00 $2,400.00 Depreciation $ 0.00 $1,810.00 $1,770.00 $2,500.00 $-5,800.00 $1,720.00 $1,620.00 $3,420.00 Cash flows from capital spending Answer: $7254.58 (plus or minus $10)

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