Prepare a set of pro$-$forma financial statements and cash flow for the following project:

$1)$Sales of $13,000$ units$/$year @ $$12/$unit

$2)$ Variable cost$/$unit is $$5.$ Fixed costs are $$35,000/$year$.$

$3)$Project life is $3$ years

$$The project has no salvage value.

$4)$Project cost is $$30,000.$ Depreciation is $$10,000$ per year.

$$Notice this is $$straight$-$line$$

$6)$The firm$$s required return is $20\%.$ The tax rate is $30\%.$

Please calculate NPV and IRR. Would you accept this project looking at NPV$?$ Would you accept this project looking at IRR? Why?