Revenues generated by a new fad product are forecast as follows: Year 1 Revenues $54,000 30,000 20,000 10,000 3 Thereafter Expenses are expected to be 50% of revenues, and working capital required in each year is expected to be 10% of revenues in the following year. The product requires an immediate investment of $50,000 in plant and equipment Required: a. What is the initial investment in the product? Remember working capital b. If the plant and equipment are depreciated over 4 years to a salvage value of zero using straight-line depreciation and the firm's tax rate is 30%, what are the project cash flows in each year? Assume the plant and equipment are worthless at the end of 4 years c. If the opportunity cost of capital is 12%, what is the project's NPV? d. What is project IRR