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ncy Bower Assignment 108 - Graded Remaining Time: 34:40:55 A company sells Gizmos to consumers at a price of $117 per unit. The costs to

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ncy Bower Assignment 108 - Graded Remaining Time: 34:40:55 A company sells Gizmos to consumers at a price of $117 per unit. The costs to produce Gizmos is $23 per unit. The company will sell 14,000 Gizmos to consumers each year. The fixed costs incurred each year will be $180,000. There is an initial investment to produce the goods of $3,500,000 which will be depreciated straight line over 16 year life of the investment to a salvage value of SO. The opportunity cost of capital is 8% and the tax rate is 31% What is operating cash flow each year? 851652.50 Correct response: 851,652.5110 Click "Verily to proceed to the next part of the question Using an operating cash flow of 651,6525 each year, what is the NPV of this project? 4038290.67 Correct response: 4,038,290.67:100 Click "Verity to proceed to the next part of the question Given a net present value of $4,038,290.67, should the company accept or reject this project? Reject Accept Correct response: Accept Click "Verity" to proceed to the next part of the question Find the net present value break-even level of units sold, Round your answer to the nearest whole unit Enter your response below. Number Click "Verity to proceed Section Attempt 1 of 1 Verily

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