You just finished a capital investment analysis on a $100 million project that has a 5-year life. The resulting NPV is $3 million using a 12% required return and a 35% marginal tax rate. You assumed a $10 million salvage value, $5 million above its adjusted tax basis. What would be the NPV if you reduced your salvage assumption by $2 million?

( Answer: $2,262,345 )

Please show all work and calculator imput.