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.We are evaluating a project that costs $876,000, has a life of twelve years and has no salvage value. Assume that depreciation is straight-line to
.We are evaluating a project that costs $876,000, has a life of twelve years and has no salvage value. Assume that depreciation is straight-line to zero over the life of the project. Sale are projected at 83, 000 units per year. Price per unit $41, variable cost per unit is $23, and fixed cost of $891,768 per year. The tax rate is 23 percent, and we variable costs, and fixed cost are all accurate to within +/- 14 percent Calculate
the best-case NPV? C
alculate the worst-case NPV?
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