Initial Investment Change in $ 10,000 Equipment $80,000 NOWC Shipping $10,000 Modifications $10,000 MACRS 3 years Salvage Value $20,000 Tax Rate 25% 4-year Project Cost of Capital 10% Revenues $100,000 per year Operating Cost $40,000 per year 1. Calculate the cash flows for the above project. 2. Calculate the IRR, NPV, Payback Period and Profitability Index. 3. Would you accept this project