Demiralp, Inc. is planning to set up a new manufacturing plant in New York to produce auto tracking camera. The company bought some land three years ago for $1.7 million in anticipation of using it as a warehouse and distribution site, but the company has since decided to rent these facilities from a competitor instead. If the land were sold today, the company would sell for $2.4 million on an aftertax basis. In four years, the land could be sold for $2.9 million after taxes. The company hired a marketing firm to analyze the market at a cost of $120,000. Here is the summary of marketing report: We believe that the company will be able to sell 8200. 9700, 6000, and 5500 units each year for the next four years, respectively. We believe that $350 can be charged for each unit We believe at the end of the four-year period, sales should be discountinued. The company believes that fixed costs for the project will be $450,000 per year. Variable costs are $287.000, $339,500. 5210,000, and 5192,500 each year for the next four years respectively. The equipment necessary for production will cost $3.5 million and will be depreciated according to a three-year MACRS schedule. At the end of the project, the equipment can be scrapped or $500.000. Net working capital of $350,000 will be required immediately. The company has a 21 percent tax rate, and the required return on the project is 6 percent What is the NPV of the project? Should accept or reject the project? NPV is - 56,250,000 and should reject the project. NPV is 58.722.883.36 and should except the project. 0 NPV is $10,274,190 and should accept the project NPV is 55,835,701.96 and should accept the project, NPV is 52.472,883.36 and should accept the project