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Assumptions: DMLS printers have a 4yr expected life The material cost of Tungsten is 10% of the material cost of the existing Molybdenum solution

Assumptions: \ DMLS printers have a 4yr expected life\ The material cost of Tungsten is 10% of the material cost of the existing Molybdenum solution \ The Molybdenum solution requires 80 hours of labor at $100/hr to produce\ The Molybdenum material cost is $20,000 each unit\ Global market of CT scanners is 2-8k units annually (you need to do research to determine this)\ The incremental revenue of not achieving the CT scan performance using Tungsten is -50%\ Market size: 1000 units annually\ 3DP technology: DMLS ($1.2M each)\ DMLS printer can run 4x grids in 24hour print \ 1000 units/50weeks/5 days/4 grids per print = 10 printers ($12M)\ Incremental revenue from CT Scan sales: \ 500 (additional unit sales) x $1.5M (ASP) = $750M\ \ Use your finance skills to build a business case for revenue and profit to capture this new market\ \ 1. How much would it cost to produce the CT scanner anti-scatter grid at scale?\ 2. What is the cash flow benefit over 5 years for adopting the Tungsten anti-scatter grid?\ 3. How much should the price be for selling the anti-scatter grid if the only alternative is the Molybdenum solution?

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