step by step calculation

@ 68% 11:5 FlexWorks-Inc.p... @ + HW2: FlexWorks Inc FlexWorks is an American manufacturer of game and sport facilities. It produces a variety of surface in a play field including hardwood, plywood, rubber, and artificial grass. Its primary customers are schools and park system. Recently, Astro Turf becomes popular in many schools. As technology gets mature, reliability has improved while cost gone down. As a sport service, FlexWorks is also considering offering Astro Turf as a part of its product lines. Astro Turf has three layers. In the bottom, it has artificial turf structure. In the middle layer, it has a resilient bed containing photovoltaic panels. On top, it has simulated synthetic grass and an open support structure capable of supporting human foot traffic Light falling on the grass may be transmitted to the photovoltaic panels, and the panels convert the transmitted light to electricity. The electricity can charge batteries which release electricity in the evening The average size of a field is 140 yards x 75 yards. Astro Turf doesn't need annual maintenance but it has to be replaced in every 10 years because of the limited life of photovoltaic panels An analyst estimated the U.S. demand of Astro Turf in the following way. # of fields Segment High School High School College College College Soccer Football 3.340 Professional Park syster Park system Total According to the analyst, the variable cost for Astro Turf is 59 per square yard. The average price of Astro Turf is $11 per square yard. The Astro Turf market is currently fragmented among many manufacturers. FlexWorks needs to conduct additional R&D to be able to produce Astro Turf. It would need to invest 52.2M upfront for this. But the company's existing facility will be enough for producing Astro Turf Given the seasonal slack in its capacity, it can manage to produce Astro Tuft without sacrificing existing product lines. Required: 1. Estimate the market size of Astro Turf. Expressit in dollar per year. 2. Suppose FlexWorks enters the Astro Turf business and tries to recover its initial investment within 3 years. How many fields will they need to sell in order to break even? 3. In order to break-even in 3 years, what would be the minimum market share in Astro Turf markt 4. How attractive is the Astro Turf market? Should FlexWorks enter Astro Turf market