Company ABC is considering a 200,000 outlay for fixed capital items. This outlay includes 25,000 for land, plus 175,000 for equipment. Depreciation policy is straight-line to zero after five years. Capital allowance/Tax Writing Down Allowance is 20% per annum. The project requires 50,000 of current assets and 30,000 in current liabilities at the onset. In Year 1, sales will be 220,000. They grow at 25% for the next two years and then grow at 10% for the last two years. Fixed cash operating expenses will be 30,000 for Years 1-3 and 20,000 for Years 4-5. Variable cash operating expenses are 30% of sales in Year 1, 40% of sales in Year 2 and 35% of sales in Years 3 to 5. Company Xs marginal tax rate is 30% and required rate of return is 10%. At the end of year 5, the company will sell off the fixed capital investments for 50,000 and recapture its cumulative investment in net working capital. Income taxes will be paid on any gains. Assume that all cash flows arise at the end of the year. Required: Determine whether this project is profitable using the NPV.