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H. Cochran, Inc., is considering a new 3 yr expansion project that requires an initial fixed asset investment of $2,250,000.The fixed asset will be depreciated straight-line to zero over its 3 year tax life. The project is estimated to generate $2,370,000in annual sales, with costs of $1,410,000. The project requires an initial investment in net working capital of $172,000 and fixed asset will have a market value of $207,000 at the end of the project. Assume that the tax rate is 22% and the required returnon the project is 11%.

a. What are the net cash flow each year?

b. What is the NPV of the project?

Please show how to solve in excel. Thank you!