Previous Page Next Page Page 1 of 30 Question 1 (1 point) A company is considering a new project requiring an upfront fixed-asset investment of $1,000,000 with an economic life of five years. Depreciation is taken on a straight-line basis, with no expected salvage value. Net working capital required immediately is expected to be $100,000 and will be recovered in full upon the project's completion in five years. In the optimistic-scenario forecast, the annual sales volume is 63,000 units, while the sale price is $162 per unit with a variable cost of $100 per unit. Annual fixed costs are estimated to $1,356,000. If the appropriate discount rate is 14.00% and the tax rate 30%, what is the project's NPV? $5,021,673 $5,153,822 $5,285,971 $5,418,121 $5,550,270 Previous Page Next Page Page 1 of 30 RI E e