estion 7 4 points Sal You manufacture face masks. Sales are projected at 15,500 face masks per year over the next four years. It will cost you $44,000 to install equipment necessary to start production: you'll depreciate this cost straight-line to zero over the project's life. You estimate that in four yea this equipment can be salvaged for $32,000. Your fixed production costs will be $65,000 per year, price per unit is 57, and your variat production costs should be 51.50 per unit (50.50 per unit in variable material costs and 51 per unit in variable labor expense). You also need a Initial investment in net working capital of 590,000. You require a return of 9 percent on your investment ignore taxes (tax rate is 0%). You believe that estimates for units sales, unit price, unit variable costs and fixed costs are accurate only to within -/+15 percent. What is the best case NPV? You manufacture face masks. Sales are projected at 15,500 face masks per year over the next four years. It will cost you $44,000 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 four years, this equipment can be salvaged for $32,000. Your fixed production costs will be $65,000 per year, price per unit is 57, and your variable production costs should be 51.50 per unit (50.50 per unit in variable material costs and $1 per unit in variable labor expense). You also need an initial investment in net working capital of $90,000. You require a return of 9 percent on your investment ignore taxes (tax rate is 09). You believe that estimates for units sales, unit price, unit variable costs and fixed costs are accurate only to within -/+15 percent Which of the following is true? For the worst case scenario, selling price per unit is 57 For the best-case scenario fixed costs is 574.750 For the worst case scenario, sales units are 13,175 face masks For the best case scenario, selling price per unit is 57.70 For the worst case scenario, variable costs 51.28 You manufacture face masks. Sales are projected at 15,500 face masks per year over the next four years. It will cost you 544,000 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 four years, this equipment can be salvaged for $32,000. Your fixed production costs will be $65,000 per year, price per unit is $7, and your variable production costs should be 51.50 per unit (50.50 per unit in variable material costs and 51 per unit in variable labor expense). You also need an initial Investment in net working capital of $90,000. You require a return of 9 percent on your investment ignore taxes (tax rate is 0%). You believe that estimates for units sales, unit price, unit variable costs and fixed costs are accurate only to within -/+15 percent. Find the accounting break-even. You manufacture face masks. Sales are projected at 15,500 face masks per year over the next four years. It will cost you $44,000 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 four years, this equipment can be salvaged for $32,000. Your fixed production costs will be $65.000 per year, price per unit is 57, and your variable production costs should be $1.50 per unit (50.50 per unit in variable material costs and 51 per unit in variable labor expense). You also need an initial Investment in net working capital of 590,000. You require a return of 9 percent on your investment. Ignore taxes (tax rate is 096) Quantity sold is projected as 15,500. If the quantity sold increases by 2095, operating cash flow (OCF) increases by 84.209. What is the degree of operating leverage at this quantity level? w