Garida Co. is considering an investment that will have the following sales, variable costs, and fixed operating costs Year 1 Year 2 Year 3 Year Unit sales 4,8005, 100 5,000 5,120 22.33 $23.45 $23.85 $24.45 Sales price Variable cost per unit 9.45 $10.85 $11.95 12.00 Fixed operating costs except depreciation $32,500 $33,450 $34,950 $34,8795 7% Accelerated depreciation rate 3396 45% 15% This project will require an investment of $25,000 in new equipment. The equipment will have no salvage value at the end of the constant tax rate of 40%, and it has a weighted average cost of capital (WACC) of 11%. Determine what the project's net present value (NPV) would be when using accelerated depreciation. O $32,596 O $43,462 O $36,218 O $41,651 project's four-year life Garida pays a Now determine what the project's NPV would be when using straight-line depreciation. Using the depreciation method will result in the highest NPV for the project. No other firm would take on this project if Garida turns it down. How much should Garida reduce the NPV of this project if it discovered that this project would reduce one of its division's net after-tax cash flows by $300 for each year of the four-year project? O $559 O $791 O $698 O $931 Garida spent $2,750 on a marketing study to estimate the number of units that it can sell each year. What should Garida do to take this information into account? O Increase the amount of the initial investment by $2,750. O Increase the NPV of the project $2,750. O The company does not need to do anything with the cost of the marketing study because the marketing study is a sunk cost