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Lee, Inc. is considering the production of a new line of softdrinks at its Springfield, IL plant. The CFO of Lee, Inc. isprovided with the following information on the new project:The expansion will require the immediate purchase of newmachinery for $30,000,000.The firm has spent $1,000,000 to train workers to use the newmachinery.The incremental sales from this project are expected to be$19,500,000 per year. The incrementaloperating expenses (excluding depreciation) are expected toequal $11,300,000 per year.The company uses straight-line depreciation. The project has aneconomic life of 10 years. The machinery has a salvage value of$1,000,000 and will be sold for that amount at the conclusion oftheproject.The company will increase net working capital by $1,200,000 atthe beginning of the project, and it willbe liquidated at the end of the project.Lee Inc.’s marginal tax rate is 40%.Lee Inc.’s weighted average cost of capital (WACC) is 10%.Based on this information, the initial net cash flow of theproject (i.e., CF0) is $ _______.Based on this information, the project’s operating net cash flowin year 5 is $_______.The IRR of this project is _____%.