The Bruin's Den Outdoor Gear is considering a new 6-year project to produce a new tent line. The equipment necessary would cost $1.33 million and be depreciated using straight-line depreciation to a book value of zero. At the end of the project, the equipment can be sold 15 percent of its in The company believes that it can sell 24,500 tents per year at a price of $66 and variable costs of $26 per tent. The fixed costs will $415,000 per year. The project will require an initial investment in net working capital of $201,000 that will be recovered at the end of the project. The required return is 10.9 percent and the tax rate is 34 percent. What is the NPV? Multiple Choice $642,663 $1,032,186 $549,708 $736,924 $504,757 Cori's Dog House is considering the installation of a new computerized pressure cooker for hot dogs. The cooker will increase sales by $8,000 per year and will cut annual operating costs by $12,500. The system will cost $43,800 to purchase and install. This system is expected to have a 4 -year life and What is the NPV of purchasing the pressure cooker? Multiple Choice $10,705 $22,333 $21,140 $1,604 $8,832