initial capital cost = 3,500,000 operating cash flow for each year = $1,000,000 recovery of capital Assets after five years =$270,000

the hurdle rate for this project is 12%. it the initial cost of working capital is $490,000 for each items as teapots, teacups, saucers, and napkins, should farbucks open this new shop if it will be in business for only five years?

what is the most it can invest in working capital and still have a positive net present value?