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Problem 9-28 Project Analysis [LO 2] McGilis Golf has decided to sell a now line of goif clubs. The clubs will seil for $915 per

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Problem 9-28 Project Analysis [LO 2] McGilis Golf has decided to sell a now line of goif clubs. The clubs will seil for $915 per set and have a variable cost of $447 per set. The company tas spent $240,000 for a marketing study that determined the company will sell 84,000 sets per year for seven years. The rurketing study also dotermined that the company will lose sales of 8,800 sets per year of its high-priced clubs. The high-priced clubs soll at $1,345 and have variable costs of $665. The company will also increase sales of its cheap clubs by 11,200 sets per year The cheap clubs sell for $356 and have voriable costs of $153 per set. The fixed costs each year will be $14,750,000. The company hes aiso spent $8,900,000 on research and development for the new clubs. The plant and equipment required will cost $48,100,000 and will be depreclated on a straight-line basis. The new clubs will also require an increase in net working capital af $3,825,000 that Wil be returned at the end of the project. The tax rate is 24 percent. and the cost of capital is 11 percent. Calculate the payback period. the NPV, and the IRR. Note: 0 not round intermodiate colculations and round your answers to 2 decimal places, e.9., 32,16. Enter your IRR answer as. a percent. percent \begin{tabular}{|c|c|} \hline Pepecs phing: & yoors \\ \hline & \\ \hline & is \\ \hline \end{tabular} Problem 9-28 Project Analysis [LO 2] McGilis Golf has decided to sell a now line of goif clubs. The clubs will seil for $915 per set and have a variable cost of $447 per set. The company tas spent $240,000 for a marketing study that determined the company will sell 84,000 sets per year for seven years. The rurketing study also dotermined that the company will lose sales of 8,800 sets per year of its high-priced clubs. The high-priced clubs soll at $1,345 and have variable costs of $665. The company will also increase sales of its cheap clubs by 11,200 sets per year The cheap clubs sell for $356 and have voriable costs of $153 per set. The fixed costs each year will be $14,750,000. The company hes aiso spent $8,900,000 on research and development for the new clubs. The plant and equipment required will cost $48,100,000 and will be depreclated on a straight-line basis. The new clubs will also require an increase in net working capital af $3,825,000 that Wil be returned at the end of the project. The tax rate is 24 percent. and the cost of capital is 11 percent. Calculate the payback period. the NPV, and the IRR. Note: 0 not round intermodiate colculations and round your answers to 2 decimal places, e.9., 32,16. Enter your IRR answer as. a percent. percent \begin{tabular}{|c|c|} \hline Pepecs phing: & yoors \\ \hline & \\ \hline & is \\ \hline \end{tabular}

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