Summer Tyme Inc. has cash available and is considering a new three-year expansio

Summer Tyme Inc. has cash available and is considering a new three-year expansion project that requires an initial fixed asset investment of $3.9 million. The fixed assets will be depreciated straight-line to zero over its three-year tax life. The fixed assets will have a market value of $200000 at the end of the project. The project is estimated to generate following revenues during those three years: $2000000 for year one $2500000 for year two and $3000000 for year three. Costs are equal to 20% of the same year sales. The project net working capital is equal to 10% of the next years revenue. The tax-rate is 35%. What are the projects net cash flows for years 0-3? What is the IRR on this project?