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Holman Inc. has a WACC of 8.19% that it uses for capital budgeting projects and is taxed at the 25% rate. It is evaluating a

Holman Inc. has a WACC of 8.19% that it uses for capital budgeting projects and is taxed at the 25% rate. It is evaluating a project that requires a t = 0 expenditure of $200,000 after which the project generates revenues of $300,000 per year for the next two years with operating costs and expenses of $60,000 per year (not including depreciation for the project). Holman will depreciate the $200,000 over the two years as equal amounts of $100,000 per year. Calculate Holman's NPV for this project.

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