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value: 5.00 points We are evaluating a project that costs $1,180000, has a ten-year life, and has no salvage value. Assume that depreciation is straightline
value: 5.00 points We are evaluating a project that costs $1,180000, has a ten-year life, and has no salvage value. Assume that depreciation is straightline to zero over the life of the project. Sales are projected at 66,000 units per yearPrice per unit is $45, variable cost per unit is $25, and fixed costs are $750000 per year. The tax rate is 35 percent, and we require a return of 15 percent on this project. Suppose the projections given for price, quantity, variable costs, and fixed costs are all accurate to within 10 percent. Calculate the best-case and worst-case NPV figures. (Negative amounts should be indicated by a minus sign. Do not round intermediate calculations and round your final answers to 2 decimal places, e.g, 32.16.) NPV Best-case Worst-case
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