URI Corporation can invest $10 million in a new machine. The machine has an expected life of 10 years, and the expected increase in sales volume is 5 million per year. Fixed cost will increase by $1 million a year, and variable cost are $1 per quantity sold. The product price is $ 5 each. The machine is depreciated on a declining balance basis over 10 years to salvage value of $ 1 million. The opportunity cost of capital is 15% and the tax rate (T) is 40%.

Find (a) the project NPV ?

(b) the NPV break-even price ?