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The following table presents sales forecasts for Golden Gelt Giftware. The unit price is $ 4 9 . The unit cost of the giftware is
The following table presents sales forecasts for Golden Gelt Giftware. The unit price is $ The unit cost of the giftware is $
It is expected that net working capital will amount to of sales in the following year. For example, the store will need an initial year
investment in working capital of $$ Plant and equipment necessary to establish the giftware business
will require an additional investment of $ This investment will be depreciated in an asset class with a CCA rate of We will
assume that the firm has other assets in this asset class. After years, the equipment will have an economic and book value of zero.
The firm's tax rate is The discount rate is
What is the net present value of the project? Round your answer to the nearest whole dollar amount.
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