The Campbell Company is considering adding a robotic paint sprayer to its production line. The sprayer costs $1,102,500. The machine falls into the MACRS 3-year class, and it would be sold for $605,000 after 3 years. The MACRS allowance percentages are 0.3333, 0.4445, 0.1481 , and 0.0741 for Years 1, 2, 3, and 4 respectively. The machine requires an increase in operating working capital of $15,500. The sprayer would not change revenues, but is expected to save the firm $850,000 per year, mainly labor. The marginal tax rate is 35% and cost of capital is 10%. a. What is the annual NOPAT throughout the project's life? b. What is the after-tax salvage value of the machine? c. What is the annual NIOC throughout the project's life? Hint. There is only one OWC in year 0 , and its full recovery is in year 3. Should the machine be purchased under the NPV method? d. If the cost of capital is 12%, should the machine be purchased under the NPV method