Table 3: Estimated non-manufacturing costs for Norco Costs 2021 2022 2023 2024 2025 2026 6,000,000 Research and development 5,000,000 Production engineering 2,000,000 Product design Selling and warehousing 1,000,000 1,250,000 1,300,000 1,500,000 1,500,000 Marketing 1,000,000 1,000,000 900,000 900,000 850,000 Sponsorships 3,000,000 3,000,000 3,000,000 2,000,000 1,000,000 285,000 380,000 475,000 570,000 570,000 Internal Failure Costs 285,000 External Failure Costs 380,000 475,000 570,000 570,000 Total 13,000,000 5,570,000 6,010,000 6,150,000 5,540,000 4,490,000 1. Advise Nicole of the potential profitability and NPV of the Norco, using a 7% cost of capital. Prepare a lifecycle budget for Nicole for the years provided. 2. Based on your analysis, would you advise Patrick to proceed with his plans for the Norco? Explain your answer using your calculations for from the previous requirement. Can you identify where non- manufacturing costs might be trimmed make the project more profitable