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Imagine you want to start up a company to manufacture and sell Wildcat sunglasses. You've done your homework and estimate design and launch costs to

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Imagine you want to start up a company to manufacture and sell Wildcat sunglasses. You've done your homework and estimate design and launch costs to be $120,000. You expect to sell 500 pairs in the first year, 2,000 pairs in second year, and 5,000 pairs in the following three years. The sales price will be 599 and each pair will cost $75 to produce and market. If your required retum is 12%, what is your NPV? (Round your answer to the nearest cent; eg, $100,000.01) 5159,564.90 5134,56781 $129,543 89 $158,746.61 10 What are the options if the target costing process is not successful? Radically design the product and perform cost breakdown Send the product back a level and re-forecast Re-forecast and compute target cost Kill the product and radically design the product

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