Problem 11-27 Scenario Analysis [LO2] Consider a project to supply Detroit with 23,000 tons of machine screws annually for automobile production. You will need an initial $4,400,000 investment in threading equipment to get the project started, the project will last for 5 years. The accounting department estimates that annual fixed costs will be $1,050,000 and that variable costs should be $195 per ton; accounting will depreciate the initial fixed asset investment straight-line to zero over the 5-year project life. It also estimates a salvage value of $425,000 after dismantling costs. The marketing department estimates that the automakers will let the contract at a selling price of $296 per ton. The engineering department estimates you wi need an initial net working capital investment of $420,000. You require a return of 9 percent and face a tax rate of 21 percent on this project. a-1. What is the estimated OCF for this project? (Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.) a- What is the estimated NPV for this project? (Do not round intermediate calculations 2. and round your answer to 2 decimal places, e.g., 32.16.) b. Suppose you believe that the accounting department's initial cost and salvage value projections are accurate only to within 10 percent; the marketing department's price estimate is accurate only to within 15 percent, and the engineering department's net working capital estimate is accurate only to within 5 percent. What are your worst- case and best-case NPVs for this project? (A negative answer should be indicated a-1. OCF a-2. NPV b. Worst-case NPV Best-case NPV UITTTTTITTIIHIUTIITITITTTITTUIIITTIITTIT11111TT1T11TT111TTTT1TT11TT11TT11L