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1) You are investing into a 3 year project. The required rate of return is 10%, the equipment cost is 46000 , straight line depreciation

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1) You are investing into a 3 year project. The required rate of return is 10%, the equipment cost is 46000 , straight line depreciation to 10000 (book value). The equipment will be sold (salvage value) for 5000 at the end of the project. The project requires 2000 of net working capital to start, and then 20% of sales revenue. You are planning to sell 220;300; and 320 units in the 1; 2; and 3 rd year respectively. The sales price is expected to be 150 , cost of each unit is 40 . Fixed costs are 6000 . Interest expense is 6400 . Tax rate is 28%. For sensitivity analysis, assume that sales units might change up or down by 20% of the planned units sold mentioned above ( +/0.2 planning to sell). Make a chart with the average total units sold (for the whole project) on the x-axis and NPV of the y-axis. Take 1 screenshot of this chart 1) You are investing into a 3 year project. The required rate of return is 10%, the equipment cost is 46000 , straight line depreciation to 10000 (book value). The equipment will be sold (salvage value) for 5000 at the end of the project. The project requires 2000 of net working capital to start, and then 20% of sales revenue. You are planning to sell 220;300; and 320 units in the 1; 2; and 3 rd year respectively. The sales price is expected to be 150 , cost of each unit is 40 . Fixed costs are 6000 . Interest expense is 6400 . Tax rate is 28%. For sensitivity analysis, assume that sales units might change up or down by 20% of the planned units sold mentioned above ( +/0.2 planning to sell). Make a chart with the average total units sold (for the whole project) on the x-axis and NPV of the y-axis. Take 1 screenshot of this chart

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