Olson Industries needs to add a small plant to accommodate a special contract to supply building materials over a five year period. The required initial c Land New building Equipment $ 500,000 2,000,000 3,000,000 Olson uses straight-line depreciation for tax purposes and will depreciate the building over 10 years and the equipment over 5 years. Olson's effective ta Revenues from the special contract are estimated at $1.2 million annually, and cash expenses are estimated at $300,000 annually. At the end of the fifth $800,000 and $500,000, respectively. It is further assumed the equipment will be removed at a cost of $50,000 and sold for $300,000. As Olson utilizes the net present value (NPV) method to analyze investments, the net cash flow for period 3 would be