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2 We are evaluating a project that costs $902,000, has an eight-year life, and has no salvage value. Assume that depreciation is straight- line to

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2 We are evaluating a project that costs $902,000, has an eight-year life, and has no salvage value. Assume that depreciation is straight- line to zero over the life of the project. Sales are projected at 90,000 units per year. Price per unit is $68, variable cost per unit is $52, and fixed costs are $784,000 per year. The tax rate is 35%, and we require a 10% return on this project. Suppose the projections given for price, quantity, variable costs, and fixed costs are all accurate to within +10%. 0/10 points awarded Calculate the best-case and worst-case NPV figures. (Omit $ sign in your response. Negative answers should be indicated by a minus sign. Do not round intermediate calculations. Round the final answers to 2 decimal places.) Scored Best-case NPV $ 2,049,204.56 X Worst-case NPV $ -2,868,978.75 X eBook Print References

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