Fox Co. is considering an investment that will have the following sales, variable costs, and fixed operating costs: Year 1 Year 2 Year 3 Year 4 Unit sales. 3,000 3,250 3,300 3,400 Sales price $17.25 $17.33 17.45 $18.24 Variable cost per unit $8.88 $8.92 $9.03 $9.06 Fixed operating costs except depreciation $12,500 $13,000 $13,220 $13,250 Accelerated depreciation rate 33% 45% 15% 7% This project will require an investment of $10,000 in new Determi ne what the project's net present value (NPV) equipment. The equipment will have no salvage value a would be when using accelerated depreciation the end of the project's four-year life. Fox pays a $16,447 O constant tax rate of 40%, and it has a weighted average $24,671 O cost of capital (WACC) of 11%. Determine what the $20,559 O project's net present value (NPV) would be when using O $18,503 accelerated depreciation. Now determine what the project's NPV would be when using straight-line depreciation. $25,485 $19,369 $20,388 Using the depreciation method will result in the highest NPV for the pr $26,504