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Aylmer-in-You (AIY) Inc. projects unit sales for a new opera tenor emulation implant as follows: Year 1 U AWN Unit Sales 106,000 120,000 130,000 150,000

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Aylmer-in-You (AIY) Inc. projects unit sales for a new opera tenor emulation implant as follows: Year 1 U AWN Unit Sales 106,000 120,000 130,000 150,000 95,000 Production of the implants will require $793,000 in net working capital to start and additional net working capital investments each year equal to 25% of the projected sales increase for the following year. (Because sales are expected to fall in Year 5, there is no NWC cash flow occurring for Year 4.) Total fixed costs are $182,000 per year, variable production costs are $294 per unit, and the units are Aylmer-in-You (AIY) Inc. projects unit sales for a new opera tenor emulation implant as follows: Year 1 U AWN Unit Sales 106,000 120,000 130,000 150,000 95,000 Production of the implants will require $793,000 in net working capital to start and additional net working capital investments each year equal to 25% of the projected sales increase for the following year. (Because sales are expected to fall in Year 5, there is no NWC cash flow occurring for Year 4.) Total fixed costs are $182,000 per year, variable production costs are $294 per unit, and the units are

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