project evaluation. Revenue generated by a new fad product are as follows:

year 1 $40,000

year 2 $30,000

year 3 $20,000

year 4 $10,000

thereafter $0

Expenses are expected to be 40% of revenues and working capital required in each year is expected to be 20% of revenue in the following year. the product requires an immediate investment of $50,000 in plant and equipment.

a) if the opportunity cost of capital is 10%, what is the project's NPV?