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Given the information below, calculate the NPV's (using the NPV Excel formula) for the following scenarios: begin{tabular}{|l|l|} hline Part a & Base NPV hline
Given the information below, calculate the NPV's (using the NPV Excel formula) for the following scenarios: \begin{tabular}{|l|l|} \hline Part a & Base NPV \\ \hline Part b & Best Case - Unit price, unit sales go up by 10%, variable and fixed costs go down by 10% \\ \hline Part c & Worst Case - Unit price, unit sales go down by 10%, variable and fixed costs go up by 10% \\ \hline \end{tabular} Base information remains the same between scenarios except for the variables in parts b and c. Base Info 1 2 Unit price 3 Variable cost per unit 125.00 4 Fixed Costs 5 Expected Sales (units) 10,000.00 units 6 Required rate of return 0.13 7 Tax Rate 0.21 8 Cost of machine 1,000,000.00 9 Salvage Value Life 10.00 Years 1 Working Capital Increase 25,000.00
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