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do solution2 The Can-Do Co. is analyzing a proposed project. sale price is estimated at $14 a unit. The expected Va fixed cost is $36,000.

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The Can-Do Co. is analyzing a proposed project. sale price is estimated at $14 a unit. The expected Va fixed cost is $36,000. The depreciation expens information: Capital expenditure is $100,00 WACC is 12% a proposed project. The company expects to sell 12,000 units. The unit. The expected variable cost per unit is $7 and the expected The depreciation expense is $30,000. The tax rate is 34%. Other apital expenditure is $100.000: the project will last for 5 years, and the company's just finished calculating the NPV of this project as follow when you are informed that some input numbers have changed. Situation 1: (For students whose the last digit of the student ID is an odd number) The sale figure and price both increased by 10% while the fixed and variable cost estimates decreased by 6%. What are the new NPV? Please show your work by filling in the empty spreadsheet. Situation 2: (For students whose the last digit of the student ID is an even number) The sale figure and price both decreased by 10% while the fixed and variable cost estimates increased by 6%. What are the new NPV? Please show your work by filling in the empty spreadsheet. INPUT Quantity 12.000 Price Variable Cost Fixed Cost Depreciation Capital Exp Project Life Tax WACC 36,000 30,000 100,000 INPUT Quantity Price Variable Cost Fixed Cost Depreciation Capital Exp Project Life Tax WACC 34% 12% OUTPUT BASE OUTPUT Year 1 to 5 Year 0 - 100.000 Cap. Exp. Cap. Exp. Sales Sales Variable Cost Variable Cost Fixed Cost Fixed Cost Depreciation EBIT Depreciation 168,000 84,000 36,000 30,000 18,000 6,120 11,880 30,000 EBIT Net Income Net Income Depreciation Depreciation 41,880 Operating CF CFO Operating CF CFO -100,000 41,880.00 $50,968.03 NPV- NPV=

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