The new hole-marker/donut-filler at Dunker Doughnuts is projected to cost $63,000. According to the base case cited in a secret management report, the following cash flows can be expected in each of the five years of the machine's life. There is no salvage value or change in working capital. Assume the cost of capital is 13%. NPV = $38, 085.23 a) What is the net present value if the price of the machine turns out to be $83,000 instead of $63,000 (assume straight-line depreciation)? b) Instead, what is the net present value if the economy booms and sales come in at $450,000 per year (variable costs remain at 78.5% of sales)? c) Calculate the accounting break-even level of sales of the base (given) case: (Fixed costs + depreciation) 1- (VC/Sales) Consider the following FYI: Expected Return for Individual Stocks: Airline (-10 + 2 + 6 + 20)/4 = 4.5% Silver (+ 5 + 3 - 20)/4 = 1.5% Show the expected return, variance and standard deviation of a 65% airline, 35% silver portfolio