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Dowling Sportswear is launching a new product. To manufacture the new product the company will have to spend $780,000 on new equipment and $150,000 in

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Dowling Sportswear is launching a new product. To manufacture the new product the company will have to spend $780,000 on new equipment and $150,000 in shipping and installation for the launch of the new product The company expects to sell 2,500 units per year at a price of $1,200 per unit. The cost per unit is $850. The company will incur annual fixe costs estimated at $50,000. Furthermore, the company estimates that the equipment will last for the full 5 years, at which time it can be sole at an estimated salvage value of $60,000. The company has a tax rate of 35% If the company uses a 10% discount rate to evaluate its investments, compute the NPV of this new investment. Show your workings and highlight your final answers-type or answers or copy and paste from Excel - DO NOT ATTACH LINK Optional Excel sheet for your workings

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