Show the calculations for each of them please

3) You are given the following forecasts for a project's investment requirements and operational revenues and costs (in 000's): the new project requires an initial investment of 15 million in PPE. However, you are told that at the end of year 3 these assets will be sold for a value of 10,000 and new assets will need to be purchased. The cost of these new assets is expected to be 20,000. Depreciation of both purchases is going to be computed linearly over four years, assuming a residual value of zero. The project is going to be liquidated at the end of year 5: we are hoping that we can sell the remaining fixed assets at that moment for their book value. All profits, including those in the sale of fixed assets, are taxed at the regular rate of 25% (the company has enough profits in other lines of activity). The project under analysis is similar to the other projects of the company. Our company is public and the beta of our company's equity is 1.2. The company's capital structure combines equity and debt in a 70/30 proportion, respectively. The debt of our company is considered risk-free. The current risk-free rate which will apply to our project (given the project's maturity) is 1.5%. The market risk premium is taken to be 6.5%. a) Compute the cost of capital of the project. b) Compute NPV and IRR of the project. c) At what value of the cost of capital will NPV become negative? 1 2 5 0 15,000 Capital investment Liquidation value of capital assets Working capital Sales COGS Other operational costs 2,500 3,000 4,000 1,308 20,000 2,093 19,323 8,000 2,000 1,500 3 4 20,000 10,000 10,000 15,000 50,000 100,000 48,880 73,363 1,500 1,500 Book value 0 85,000 53,730 1,500