Identify all relevant cash flows to use in your NPV/IRR calculation. Present the cash flows in a timeline.

The project will require an up-front investment in fixed assets of 415 million, The project will increase revenue (net of cogs) by 100 million for the 5 years, The project can be replaced in year 5, for 150 million (net of salvage value). Net working capital must increase by 80 million at the begining of the project, and you will recover this investment at the end of the project's life. Incremental marketing expenses will be 5 million each year to support the porject. If you undertake the project, you expect to cannibalize an exsiting product's line's sales, which is projected to reduce your exsisting revenue sources by 7%.

Income Statement (millions)
Sales	3000
COGS	1200
Gross Margin	1800
SG&A	230
Interest Expense	170
EBT	1400
Taxes	400
Net Income	1000