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Revenues generated by a new fad product are forecast as follows:Year Revenues 1) $56,000 2) 40,000 3) 30,000 4) 20,000 Thereafter0.Expenses are expected to be 50% of revenues, and working capitalrequired in each year is expected to be 20% of revenues in thefollowing year. The product requires an immediate investment of$60,000 in plant and equipment.a. What is the initial investment in the product? Rememberworking capital.b. If the plant and equipment are depreciated over 4 years to asalvage value of zero using straight-line depreciation, and thefirm’s tax rate is 40%, what are the project cash flows in eachyear? Assume the plant and equipment are worthless at the end of 4years. (Do not round intermediate calculations.)c. If the opportunity cost of capital is 12%, what is theproject's NPV? (A negative value should be indicated by a minussign. Do not round intermediate calculations. Round your answer to2 decimal places.)d. What is project IRR? (Do not round intermediate calculations.Enter your answer as a percent rounded to 2 decimal places.)