Down Under Boomerang, Inc., is considering a new three$-$year expansion project that

requires an initial fixed asset investment of $$2\mathrm{.}97$ million. The fixed asset falls into the

three$-$year MACRS class. The project is estimated to generate $$2,170,000$ in annual

sales, with costs of $$847,000.$ The project requires an initial investment in net working

capital of $$390,000,$ and the fixed asset will have a market value of $$255,000$ at the end

of the project.

a$.$ If the tax rate is $24$ percent, what is the project's Year $1$ net cash flow? Year $2?$ Year $3?$

Table $8\mathrm{.}3.($A negative answer should be indicated by a minus sign. Do not round

intermediate calculations and enter your answers in dollars, not millions of dollars,

rounded to $2$ decimal places, e$.$g$.,1,234,567\mathrm{.}89.)$

b$.$ If the required return is $9$ percent, what is the project's NPV$?($Enter your answer in

dollars, not millions of dollars. Do not round intermediate calculations and round

your answer to $2$ decimal places, e$.$g$.,1,234,567\mathrm{.}89.)$

Answer is complete but not entirely correct.