Esfandairi Enterprises is considering a new three-year expansion project that requires an initial fixed asset investment of $2,350,000. The fixed asset will be depreciated straight-line to zero over its three-year tax life. The project is estimated to generate $2,860,000 in annual sales, with costs of $1,850,000. The project requires an initial investment in net working capital of $176,000, and the fixed asset will have a market value of $211,000 at the end of the project. Assume that the tax rate is 25 percent and the required return on the project is 11 percent.