Please help

Three months ago, INT paid an external consultant $1.5 million for a production plan and demand analysis. The consultant recommended producing and selling the product for five years only as technological innovation will likely render the market too competitive to be profitable enough after that time. Sales of the product are estimated as follows:

Year Estimated sales volume (units)

1. 5,200
2. 4,600
3. 4,200
4. 3,800
5. 3,600

In the first year, it is estimated that the product will be sold for $45,000 per unit. However, the price will drop in the following three years to $40,000 per unit and fall again to $36,000 per unit in the final year of the project, reflecting the effects of anticipated competition and improving technology in the market. Variable production costs are estimated to be $29,000 per unit for the entire life of the project.

Fixed production costs (excluding depreciation) are predicted to be $3 million per year and marketing costs will be $1.6 million per year.

Production will take place in factory space the company owns and currently rents to another business for $2.5 million per year. Equipment costing $87 million will have to be purchased. This equipment will be depreciated for tax purposes using the prime cost method at a rate of 10% per annum. At the end of the project, the company expects to be able to sell the equipment for $37 million.

Investment in net working capital will also be required. It is estimated that accounts receivable will be 30% of sales, while inventory and accounts payable will each be 25% of variable and fixed production costs (excluding depreciation). This investment is required from the beginning of the project because credit sales, inventory stocks and purchases on trade credit will begin building up immediately. All accounts receivable will be collected, suppliers paid and inventories sold by the end of the project, thus the investment in net working capital will be returned at that point.

What are the net present values of all 5 years?