You are considering new elliptical trainers and you feel you can sell $4,000$ of these per year for $5$ years $($after which time this project is expected to shut down when it is learned that being fit is unhealthy$).$ The elliptical trainers would sell for $$2,000$ each and have a variable cost of $$1,000$ each. The annual fixed costs associated with production would be $$1,200,000.$In addition, there would be a $$6,000,000$ initial expenditure associated with the purchase of new production equipment. It is assumed that this initial expenditure will be depreciated using the simplified straight$-$line method down to zero over $5$ years. This project will also require a one$-$time initial investment of $$1,400,000$ in net working capital associated with inventory, and that working capital investment will be recovered when the project is shut down. Finally, assume that the firm's marginal tax rate is $34$ percent.a$.$ What is the initial outlay associated with this project?b$.$ What are the annual free cash flows associated with this project for years $1$ through $4?$c$.$ What is the terminal cash flow in year $5($that is$,$ what is the free cash flow in year $5$ plus any additional cash flows associated with the termination of the project$)?$d$.$ What is the project's NPV given a required rate of return of $11$ percent?a$.$ What is the initial outlay associated with this project?$($Round to the nearest dollar.$)$b$.$ Whahare the annual free cash flows associated with this project for years $1$ through $4($note that the cash flows for years $1$ through $4$ are equal$)?($Round to the nearest dollar.$)$c$.$ What is the terminal cash flow in year $5($that is$,$ what is the free cash flow in year $5$ plus any additional cash flows associated with the termination of the project$)?$Round to the nearest dollar.$)$d$.$ What is the project's NPV given a required rate of return of $11$ percent?$($Round to the nearest dollar.$)$