Given the below details, the initial capital investment is $3 million, the tax rate is 32%, cash flow from salvage (after taxes) in Year 3 is projected to be $1.5 million, and the WACC is 12.8%. What is the net incremental cash flows for Period 1 expected to be?

	Year 0	Year 1	Year 2	Year 3
Proforma Income Statement
Projected revenues		$2,225,000	$3,250,000	$4,900,000
Cost of revenues		$1,390,625	$2,185,000	$3,315,000
Gross profit		$834,375	$1,065,000	$1,585,000
Depreciation		$1,000,000	$1,000,000	$1,000,000
Operating expenses		$267,000	$390,000	$576,000
Operating profit		($432,625)	($325,000)	$9,000
EBIT		($432,625)	($325,000)	$9,000