Revenues generated by a new fad product are forecast as follows: Year Revenues 1 $69,699 2 45,699 3 39,999 Il- 19,999 Thereafter 9 [ Expenses are expected to be 40% of revenues, and working capital required in each year is expected to be 20% of revenues in the following year. The product requires an immediate investment of $60,000 in plant and equipment. Required: a. What is the initial investment in the product? Remember working capital. b. lfthe plant and equipment are depreciated over 4 years to a salvage value of zero using straightline depreciation, and the rm's tax rate is 30%, what are the project cash flows in each year? Assume the plant and equipment are worthless at the end of4years. :. lfthe opportunity cost ofcapital is 15%, what is the project's NPV? d. What is project IRR? Req A Req B Reg C and D What is the initial investment in the product? Initial investmentReq A Req B Req C and D If the plant and equipment are depreciated over 4 y firm's tax rate is 30%, what are the project cash flo end of 4 years. (Do not round intermediate calculati Year Cash Flow 2Req A Req B Reg C and D c. If the opportunity cost of capital is 15%, wh Do not round intermediate calculations. Round d. What is project IRR? (Do not round interme C. NPV d. IRR %