00 Desai Industries is analyzing an average-risk project, and the following data have been developed. Unit sales will be constant, but the sales price should increase with inflation. Fixed costs will Under the new tax law, the equipment used in the project is eligible for 100% bonus depreciation, so it will be fully depreciated at t= o. At the end of the project's life, the equipment would ha project. This is just one of many projects for the firm, so any losses on this project can be used to offset gains on other firm projects. What is the project's expected NPV? Do not round the inte WACC 10.0% Equpiment cost $200,000 Units sold 56,000 Average price per unit, Year 1 $25.00 Fixed op. costs (constant) $150,000 $20.20 Variable op. cost/unit, Year 1 O Expected annual inflation rate 5.00% Tax rate 25.0% O a $45,434 Ob. $86,882 Oc$136,882 Od. $95,434 Oe. $119,635 O oooo wing data have been developed. Unit sales will be constant, but the sales price should increase with inflation. Fixed costs will also be constant, but variable costs should rise with inflati le for 100% bonus depreciation, so it will be fully depreciated at t-o. At the end of the project's life, the equipment would have no salvage value. No change in net operating working ca s on this project can be used to offset gains on other firm projects. What is the project's expected NPV? Do not round the intermediate calculations and round the final answer to the nem 10.0% $200,000 56,000 $25.00 $150,000 $20.20 5.00% 25.0% Question 15 of 30 onstant, but the sales price should increase with inflation. Fixed costs will also be constant, but variable costs should rise with inflation. The project should last for 3 years. preciated at t-o. At the end of the project's life, the equipment would have no salvage value. No change in net operating working capital (NOWC) would be required for the -firm projects. What is the project's expected NPV? Do not round the intermediate calculations and round the final answer to the nearest whole number