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Suppose the VP of Baldwin Company is looking to evaluate a new project to produce bowling balls. Here are the relevant details: The cost of

Suppose the VP of Baldwin Company is looking to evaluate a new project to produce bowling balls. Here are the relevant details: The cost of the marketing test is $250,000.The new product will be manufactured in a building owned by the company. If not
manufactured, the building would be sold for $150,000. The cost of the machine is $100,000 and is expected to be used for 5 years, after which
it is expected to be sold for $30,000.The price of a unit of production is $20, and it is expected to grow at a rate of 2% per year. The tax rate is 34%, and the production cost is $10 per unit, which is expected to grow
at a rate of 10% per year. Depreciation is calculated using the Modified Accelerated Cost Recovery System. Net working capital at the time of the investment is $10,000, and in subsequent years, its expected to be 10% of the total expected sales. What is the NPVof the project? Give your answer to the nearest cent.

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