Morecambe Golf Plc has decided to sell a new line of golf clubs. The clubs will

sell for $800$ per set and have a variable cost of $400$ per set. The company

has spent $400,000$ on a marketing study that determined the company will

sell $7,500$ sets per year for four years. The fixed costs each year will be

$1,250,000.$ The company has also spent $1,000,000$ on research and

development for the new clubs. The plant and equipment required will cost

$4,200,000$ and will be depreciated on a straight$-$line basis to the book value

of zero. The new clubs will also require an increase in net working capital of

$800,000,$ which will be returned at the end of the project. The tax rate is $25$

percent, and the cost of capital is $12$ percent.Calculate the total initial cost of the project