question is worth a lot of points please do right thank you!!!! (:

Related to Checkpoint 13.2 and Checkpoint 13.3) (Comprehensive risk analysis) Binkena is considening introducing a new ine of hand scanners that can be used to copy material and then download it into a personal computer These scanners are expected to sell for an average price of $102 ech, and the compary analysts performing the analysis expect that the fim can sell 101,000 units per year at this price for a period of five years, ater which time they expect demand for the product to end as a result of new technology In addition, vanabie costs are expected to be $20 per unit and fixed costs, not including depreciation are forecast to be $1,000,000 por year To manudacture this product, Binkeria will need to buy a computerized production machne for $9 8 milion that has no residual or salvage value, and will have an expected ife of frve years. In addson, the fim expects it will have to invest an additional $3002,000 in working captal to support the new business Other pertinent information conceming the business venture is provided here a Calculate the project's NPV b. Detemine the sensitivity of the projects NPV to aln) 8 percent docease in the number of units soid e Detemine he sensitivity of the project's NPV to al) 8 percent decrease in the price per unit d. Detemine the sersitvity of the prects NPV to a) 8 percent increase in the variable cost per unt e Detemine the sensivity of the projects NPV to an) B percent increase in the annuN fxed operabng costs f. Use scenario analysis to evalate the project's NPV under worst and best case scenanos for the project's value drivers The values tor the expected or base-case along wth the worst- and best-case scenanios &The NPV for the base-case wll be Round to the nearest dollar) Homework 1 of 2 (1 complete) Comprehensive risk analysis) Blinkeria is considering introducing a new line of hand scanners that can be ell for an average price of $102 each, and the company analysts performing the analysis expect that the firm c nd for taanraduat to an pe e this p o inve iData Table In addition ariabla.cocte ara axpoctodto be $20 pe no residu mation co E f Dowtochnoloa $9,800,000 n) 8 pe n) 8 per n) 8 pe n) 8 pe under Initial cost of the machine Expected life Salvage value of the machine Working capital requirement 5 years $0 $302,000 straight line $1,960,000 per year $1,000,000 per year base-case Depreciation method Depreciation expense Cash fixed costs-excluding depreciation o the ne Variable costs per unit Required rate of return or cost of capital $20 9.7% Tax rate 34% Print Done ick Check Answer Clear All ine ata to SUpport the hew busSiness X Data Table Best Case Expected or Base Case Worst Case Unit sales 72,720 129,280 along 101,000 Price per unit $102 $89.76 $123.42 Variable cost per unit $(20) $(1,000,000) $(1,960,000) $(21.80) $(1,200,000) $(1,960,000) $(18.40) $(910,000) (1,960,000) Cash fixed costs per year Depreciation expense Print Done (Related to Checkpoint 13.2 and Checkpoint 13.3) (Comprehensive risk analysis) Blinkeria is considering introducing a new line of hand scanners that can be used to copy material and then download it into a personal computer. These scanners are expected to sell for an average price of $102 each, and the company analysts performing the analysis expect that the firm can sell 110,000 units per year at this price for a period of five years, after which time they expect demand for the product to end as a result of new technology. In addition, variable costs are expected to be $22 per unit and fixed costs, not including depreciation, are forecast to be $1,070,000 per year. To manufacture this product, Blinkeria will need to buy a computerized production machine for $9.9 million that has no residual or salvage value, and will have an expected life of five years. In addition, the firm expects it will have to invest an additional $303,000 in working capital to support the new business. Other pertinent information conceming the business venture is provided here: a. Calculate the project's NPV b. Determine the sensitivity of the project's NPV to a(n) 12 percent decrease in the number of units sold. c. Determine the sensitivity of the project's NPV to a(n) 12 percent decrease in the price per unit. d. Determine the sensitivity of the project's NPV to a(n) 12 percent increase in the variable cost per unit. e. Determine the sensitivity of the project's NPV to a(n) 12 percent increase in the annual fixed operating costs. I lea enanarin ansheie te auahiate tha neniarte NDVndar nret and haet.caea enanarine fnr tha nmiactre a Tha valee tne tha avnactad drare a. The NPV for the base-case will be S(Round to the nearest dollar.) f. Use scenario analysis to evaluate the project's NPV under worst- and best-case scenarios for the project's value drivers. The values for the expected or base-case along with the worst- and best-case scenarios are listed here: a. The NPV for the base-case will be S(Round to the nearest dollar.)