Consider a project to supply 107 million postage stamps per year to the U.S. Postal Service for the next five years. You have an idle parcel of land available that cost $1,970,000 five years ago; if the land were sold today, it would net you $2,170,000 aftertax. The land can be sold for $2,370,000 after taxes in five years. You will need to install $5.47 million in new manufacturing plant and equipment to actually produce the stamps; this plant and equipment will be depreciated straight-line to zero over the project