The following data is related to Bygone Incorporation related to a capital expenditure:

Purchase price of the asset (FOB) is Rs. 20.5 million

Insurance, freight, and other charges are Rs. 1.2 million

Taxes adjustable against future income are Rs. 2 million

Un-adjustable taxes, duties and government charges are Rs. 6.6 million

Installation charges are Rs. 5.5 million

Setup cost of the plant is Rs. 1.5 million

The company would require to make an investment in working capital Rs. 5 million

The asset is likely to provide annual profit of Rs. 12 million

The actual useful life of the asset is 5-years

The asset falls in 3-year property class with the following annual depreciation rates:

Year 1 = 33.33%

Year 2 = 44.45%

Year 3 = 14.81%

Year 4 = 7.41 %

Income tax rate applicable to the company is 30%.

The residual value (Salvage value) of the asset will be Rs. 3.3 million. The working capital will be released at the end of terminal year of the asset.

Required:

Initial cash outflow of the asset

Incremental cash inflows over the useful life of the asset

Terminal cash flow of the asse