You are the financial managers of a company which makes printers. currently you are using NOV method to evaluate a project that produces a new model of product. the WACC is 10% and the tax rate is 25%.

1) The project is going to use a set of brand new machines that your firm already owns. the market value of this machine is 4 million.

2) the new machine will be installed in a vacant building that is worth 3 million.

3) for the past 2 years, the company has spent $800,000 for R&D on the new model.

4) the project will be partially financed with debt, the interest to be paid every year is $100,000

5) I'd the new project is taken it is expected that the current inventory level will increase by $1,500,000, by account receivable will increase by $1 million, account payable increases by $800,000 and the minimum cash balance will increase by .5 million.

6) The sales from this project will be 10 million per year of which 20% will be from lost sales of existing products.

7) the variable costs of manufactoring for this level of sales will be $4 million per year.

8) The company uses straight line depreciation. the project HD n economic life of 10 years and the fixed assets (including machine and building l) will have an after tax salvage of 2 million at the end.

9) the project will require hiring a new manager that will cost $100,000 per year.

10) currently, the overload of the firm is $500,000. and the accounting department will allocate 20% of it to the new project. in addition, the firm needs to rent a new office for the manager for 50,000 a year.

please find the NPV of the project. show me the steps to find the initial investment, operation cash flows, non operating cash flows, and NPV.