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4. A project under consideration costs $950000, has a five-year life, and has no salvage value. Depreciation is straight-line to zero. The required return is
4. A project under consideration costs $950000, has a five-year life, and has no salvage value. Depreciation is straight-line to zero. The required return is 15% and the tax rate is 34%. Sales are projected at 500 units per year. Price per unit is $2500, variable cost per unit is $1500, and fixed costs are $200000 per year. Suppose you think that the unit sales, price, variable cost, and fixed cost projections are accurate to within 5%. Use these information to answer questions 5 to 7. Enter your answer 5. what is the worst case scenario NPV?* (2 Points)
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