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H Cochran, Inc., is considering a new three-year expansion project that requires an Initial fixed asset investment of $3,100,000. The fixed asset will be depreciated

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H Cochran, Inc., is considering a new three-year expansion project that requires an Initial fixed asset investment of $3,100,000. The fixed asset will be depreciated straight- line to zero over its three-year tax life, after which time it will be worthless. The project is estimated to generate $3,370,000 in annual sales, with costs of $2,390,000. If the tax rate is 24 percent, what is the OCF for this project? (Do not round Intermediate calculations and round your answer to 2 decimal places, e.g. 32.16.) OCF We are evaluating a project that costs $2,010,000, has a 7-year life, and has no salvage value Assume that depreciation is straight-line to zero over the life of the project Sales are projected at 89,400 units per year. Price per unit is $38.61, variable cost per unit is $23.75, and fixed costs are $848,000 per year. The tax rate is 21 percent and we require a return of 12 percent on this project Suppose the projections given for price, quantity, variable costs, and fixed costs are all accurate to within 210 percent Calculate the best-case and worst-case NPV figures (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) Best-case NPV Worst-case NPV

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