im doing revision for my resits and i dont know how to maximize full marks on a question like this

Question 1 Broadhead plc manufacture high quality televisions. They are considering producing a new very high definition television that will have the thinnest screen on the market. They will need to buy some new machinery at a cost of $6,000,000, it has an expected life of 4 years at the end of which it is expected that it can be sold for f1,250,000. Expected sales, with selling prices per unit in current terms, for the next 4 years are: Year Expected Sales Units | Unit selling price 1 3,000 E900 10,000 E850 12,000 E800 8,000 E660 Unit variable costs are estimated to be $500 per unit in current terms and attributable fixed overheads are estimated to be $200,000 per year in current terms Working capital to cover inventory of raw materials and finished goods will be required from the start of the project equivalent to 20% of that years variable costs. The company believes that both sales and costs will be affected by inflation, with selling prices rising at 3% per year and all costs rising by 5% per year. Broadhead plc pays corporation tax on profits at 30% per year one year in arrears and the new machinery will be eligible for capital allowances at 25% per year on a reducing balance basis. The new machine is expected to be purchased on the first day of the new financial year which is about to start. The estimated relevant cost of capital for this project is 15% Required (a) Calculate the net present value of the project to invest in the new machinery (16 Marks) (b) Calculate and briefly explain the sensitivity of the project to a change in sales price of the televisions. (4 Marks) (c) Critically appraise the answers to parts (a), (b) and (c) and advise Broadhead plc as to whether they should go ahead with this project. (20 Marks) TOTAL (40 Marks) Discount factors for 15% Period 2 3 4 5 6 7 8 9 10 Discount 0.870 0.756 0.658 0.572 0.497 0.432 0.376 0.327 0.284 0.247 Factor