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The Unscrupulous Co. is considering investing in a product that will cost $780,000 and be depreciated over an 8-year life. The company expects to sell

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The Unscrupulous Co. is considering investing in a product that will cost $780,000 and be depreciated over an 8-year life. The company expects to sell 15,200 units, give or take 6%. The expected fixed costs are $160,000 and variable costs per unit are $61. Cost estimates are considered accurate within a 4% range. The sales price is $92, give or take 5%. The tax rate is 25%. A. Calculate the expected EBIT under the most optimistic scenario. B. Calculate the expected OCF under the most pessimistic scenario. C. Calculate the expected NPV under the most pessimistic scenario if the firm's cost of capital is 15% I Brady Bombers has a project that costs $31.2 million with a 13-year life and no salvage value. Sales are projected at 320,000 units per year. Price per unit is $97.50 and variable costs are 68.50 per unit while fixed costs are $6.5 million per year. The tax rate is 25% and required return is 11% A Calculate the accounting break-even on this project. B. Calculate the financial break-even on this project. (Ctrl) The Unscrupulous Co. is considering investing in a product that will cost $780,000 and be depreciated over an 8-year life. The company expects to sell 15,200 units, give or take 6%. The expected fixed costs are $160,000 and variable costs per unit are $61. Cost estimates are considered accurate within a 4% range. The sales price is $92, give or take 5%. The tax rate is 25%. A. Calculate the expected EBIT under the most optimistic scenario. B. Calculate the expected OCF under the most pessimistic scenario. C. Calculate the expected NPV under the most pessimistic scenario if the firm's cost of capital is 15% I Brady Bombers has a project that costs $31.2 million with a 13-year life and no salvage value. Sales are projected at 320,000 units per year. Price per unit is $97.50 and variable costs are 68.50 per unit while fixed costs are $6.5 million per year. The tax rate is 25% and required return is 11% A Calculate the accounting break-even on this project. B. Calculate the financial break-even on this project. (Ctrl)

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