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Using the table below. Compute the NPV of the Most Likely and Pessimistic scenario, and calculate the % change in your NPV from Most

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Using the table below. Compute the NPV of the Most Likely and Pessimistic scenario, and calculate the % change in your NPV from Most Likely to Pessimistic value. Variable Unit price Annual unit Sales Variable Cost per unit Investment Fixed Cost Investment Working Capital Project Life (Years) Depreciation (straight-line) Asset Re-sale Price (Salvage Value) Tax Rate Required Rate of Return Pessimistic 150 100,000.0 120 400,000.0 8.0 46,000 0 30,000 0 35 13% Scenarios Most Likely 180 350,000.0 42,000 0 8.0 43,000 0 35,000 0 32 12% Optimistic 230 160,000.0 101 250,000.0 35,000 0 8.0 31,000 0 38,000 0 30 11%

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