Your company has been doing well, reaching $ 1.08 million in earnings, and is considering launching a new product. Designing the new product has already cost $ 471,000. The company estimates that it will sell 777,000 units per year for$ 2.92 per unit and variable non-labor costs will be $ 1.15 per unit. Production will end after year 3. New equipment costing$ 1.11 million will be required. The equipment will be depreciated using 100% bonus depreciation under the 2017 TCJA. You think the equipment will be obsolete at the end of year 3 and plan to scrap it. Your current level of working capital is $ 308,000. The new product will require the working capital to increase to a level of $ 377,000 immediately, then to $ 396,000 in year 1, in year 2 the level will be $ 359,000, and finally in year 3 the level will return to $ 308,000. Your tax rate is 21 %. The discount rate for this project is 10.4 %. Do the capital budgeting analysis for this project and calculate its NPV. Note: Assume that the equipment is put into use in year 1. Design already happened and is BLANK (irrelevant).(Select from the drop-down menu.) According to the bonus depreciation schedule, depreciation in year 1 will be $ ___. (Round to the nearest dollar.) Depreciation in years 2 and 3 will be $___. (Round to the nearest dollar.) Complete the capital budgeting analysis for this project below:(Round to the nearest dollar.) Year 0, 1, 2, & 3 need the following information: Sales $ ___Cost of Goods Sold $____ Gross Profit $____ - Depreciation $____ EBIT $____ - Tax $ ____Incremental Earnings $ ____+ Depreciation $ ____- Incremental Working Capital $ _____- Capital Investment $ ____Incremental Free Cash Flow $____ Year 1 $ ____Year 2 $ ____ Year 3 $ )____ The NPV of the project is $_____. (Round to the nearest dollar.) Enter any number in the edit fields and then continue to the next question.