Question 2 (30 marks) Your company is considering investing in a project to produce a new product. The project is expected to last for four years. The company needs to buy a new machine at the cost of $10,000. Total shipping cost and installation cost of the machine are $400. The company applies the straight-line depreciation method over four-year useful life, and it is assumed that the machine will have zero salvage value at the termination of the project. The company experiences a 30 percent tax rate. The company forecasted the following information: Year 1 2 3 4 Unit price () 9 12 15 10 Unit variable cost (S) 4 7 8 6 Unit sold 1,500 2,400 3,300 2,000 Total annual fixed costs are forecasted to be $2,000. There will be an initial investment in net operating working capital (NOWC) of $1,000. For each year, the investment in net operating working capital will be equal to 15 percent of the sales revenues for that year. The investment in net operating working capital is liquidated at the termination of the project. 1. Complete the table on unit price, unit variable cost, and unit sold. (3.5 marks) 2. Estimate the project's cash flow during year 0 to year four. (26.5 marks)