Is this correct? If not, why?

1) Calculate NPV, IRR, PI, DPB, PB for the following project: initial machine cost $1,000,000, discount rate-14%, tax rate-33%, project life-7 years (use MACRS), sales for the first year-$250,000 and are expected to increase 20% through year 5, but sales in year 6 & 7 will be stable at year 5's number, costs-58% of sales per year with a one-time software upgrade cost of $10,000 in year 4, scrap value for the machine at the end of year 7 = $50,000 (50 points) Cost Depreciation Book Value at time of sale Scrap Value Profit/Loss Tax @ 33% After Tax Cash Flow $1,000,000 -$955,400 $44,600 $50,000 S5,400 $1,782 $48,218 7 Year MACRS Initial Investment MACRS Sales 0 4 $1,000,000 8.93% 250,000 $300,000 $360,000 $432,000$518,400 $518,400 $518,400 $145,000$174,000 $208,800 $250,560 $300,672 $300,672 $300,672 142,900244,900$174,900$124,900$89,300$89,200-$89,300 37,900$118,900 23,700 $56,540 $128,428 $128,528 $128,428 14.29% 24.49% 17.49% 12.49% 8.93% 8.92% oS Depreciation Net Income Before Tax Tax @ 33% Net Income After Tax Add back depreciation Software Upgrade Scrap Value After Tax Total Cash Flow PVF Present Value of CF @ 14% S0$18,658 $42,381 |$42,414 $42,381 $37,900-$118,90023,700 $37,882$86,047$86,114 $86,047 105,000 $126,000151,200 $162,782 $175,347 $175,314 $175,347 $0 $0 $10,000 $48,218 $1,000,000 $105,000 $126,000$151,200 $152,782 $175,347 $175,314 $223,565 0.5921 0.5194 0.4556 0.3996 $92,105$96,953 $102,056$90,459$91,070 $79,871$89,34.5 0.8772 0.7695 0.6750 NPV IRR PI PB DBB 358,142 2.39% 0.64 6.49 Not Achieved