Carla Vista Shovel Corporation has decided to bid for a contract to supply shovels to the Honduran Army. The Honduran Army intends to buy $1,100$ shovels per year for the next $3$ years. To supply these shovels, Carla Vista will have to acquire manufacturing equipment at a cost of $$185,000.$ This equipment will be depreciated on astraight$-$line basis over its five$-$year lifetime. At the end of the third year, Carla Vista can sell the equipment for exactly its book value $).$ Additional fixed costs will be $$33,000$ per year, and variable costs will be $$2$ per shovel. An additional investment of $$24,000$ in net working capital will be required when the project is initiated. This investment will be recovered at the end of the third year. Carla Vista Shovel has a $27$ percent marginal tax rateand a $17$ percent required rate of return on the project. What is the lowest possible per shovel price that Carla Vista can offer for the contract and still create value for its stockholders? $($Round Round CF Opns answer to O decimal places, eg$.5,275$ and Inal cinswer to $2$ declinal places, eg$.15\mathrm{.}25.)$

Shovelprice