Production of the implants will require $1,660,000 in net working capital to start and additional net working capital investments each year equal to 15 percent of the projected sales increases for the following year. Total fixed costs are $1,560,000 per year, variable production costs are $295 per unit, and the units are priced at $410 each. The equipment needed to begin production has an installed cost of $21800,000. Because the implants are intended for professional singers, the equipment is considered industrial machinery and thus qualifies as seven-year MACRS property. In five years, this equipment can be sold for about 20 percent of its acquisition cost. AAI is in the 35 percent marginal tax bracket and has a required return on all its projects of 18 percent. Table 8.3. What is the NPV of the project? (Do not round intermediate calculations and round your final answer to 2 decimal places (e.g., 32.16).) What is the IRR? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places (e.g., 32.16).) We are evaluating a project that costs $848,000 has an eight-year life, and has no salvage value. Assume that depreciation is straight-line to zero over the life of the project. Sales are projected at 62,000 units per year. Price per unit is $40, variable cost per unit is $20, and fixed costs are $625,000 per year. The tax rate is 36 percent, and we require a return of 20 percent on this project. Production of the implants will require $1,660,000 in net working capital to start and additional net working capital investments each year equal to 15 percent of the projected sales increases for the following year. Total fixed costs are $1,560,000 per year, variable production costs are $295 per unit, and the units are priced at $410 each. The equipment needed to begin production has an installed cost of $21800,000. Because the implants are intended for professional singers, the equipment is considered industrial machinery and thus qualifies as seven-year MACRS property. In five years, this equipment can be sold for about 20 percent of its acquisition cost. AAI is in the 35 percent marginal tax bracket and has a required return on all its projects of 18 percent. Table 8.3. What is the NPV of the project? (Do not round intermediate calculations and round your final answer to 2 decimal places (e.g., 32.16).) What is the IRR? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places (e.g., 32.16).) We are evaluating a project that costs $848,000 has an eight-year life, and has no salvage value. Assume that depreciation is straight-line to zero over the life of the project. Sales are projected at 62,000 units per year. Price per unit is $40, variable cost per unit is $20, and fixed costs are $625,000 per year. The tax rate is 36 percent, and we require a return of 20 percent on this project