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need part b the answer is not -192002. second posting please dont answer if your unsure You are considering a proposal to produce and market

need part b the answer is not -192002. second posting please dont answer if your unsure image text in transcribed
You are considering a proposal to produce and market a new sluffing machine. The most likely outcomes for the project are as follows. Expected sales: 100,000 units per year Unit prices $190 Variable cost: $114 Fixed cost: 54,080,000 The project will last for 10 years and requires an initial imvestment of $11.28 million, which will be depreciated straight-line over the project life to a final value of zero. The firm's tax rate is 30% and the required rate of roturn is 12%. However, you tecognize that some of these estimates are subject to errot, in one scenario a sharp rise in the dollar could cause sales to fall 30% below expectations for the life of the project and, if that happens, the unit price would probably be only $180. The good news is that fixed costs could be as low as $2,720,000, and variable costs would decline in proportion to sales. a. What is project NPV if all variables are as expected? Note: Do not round intermediate calculations. Enter your answer in thousands not in millions and round your answer to the nearest whole doliar amount. b. What is NPV in the bod-case scenorio? Note: Do not round intermediate calculations. Enter your answer in thousands not in inillions and round your answer to the nearest whole dollar amount. Negathe amount should be indicated with a minus sign

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