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CARGO Enterprises needs someone to supply it with 1 6 0 0 0 0 rubber balls per year to support its manufacturing needs over the

CARGO Enterprises needs someone to supply it with 160000 rubber balls per year to support its manufacturing needs over the next 5years, and you've decided to bid on the contract. It will cost you $1880000 to install the equipment necessary to start production; you'll depreciate this cost straight-line to zero over the project's life. You estimate that in the end of years this equipment can be salvaged for $150000. Your fixed production costs will be $381,000 per year, and your variable production costs should be $7.5 per carton. You also need an initial investment in net working capital of $246,000. If your tax rate is 0.34 percent and you require a return of 0.1 percent on your investment,if there was a downturn in the economy and fixed cost increased to 400,000 and variable cost increase by 10%what is the new NPVWhat is the initial investmentAnswer for part 1what is the terminal value?(hint,discounted)Answer for part 2what is the discounted cash flowAnswer for part 3what is the bid priceAnswer for part 4what is the accounting break even pointAnswer for part 5if there was a downturn in the economy and fixed cost increased to 400,000 and variable cost increase by 10% and selling price was 13$what is the new NPV

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