You are considering a new product launch. The project will cost $1,600,000, have a 4-year life, and have no salvage value; depreciation is straight-line to 0. Sales are projected at 160 units per year; price per unit will be $20,000; variable cost per unit will be $11,500; and fixed costs will be $470,000 per year. The required return on the project is 15%, and the relevant tax rate is 35%. a. Based on your experience, you think the unit sales, variable cost, and fixed cost projections given here are probably accurate to within +10%. What are the upper and lower bounds for these projections? What is the base-case NPV? What are the best-case and worst-case scenarios? (Negative answers should be indicated by a minus sign. Do not round intermediate calculations. Round the final NPV answers to 2 decimal places. Omit $ sign in your response.) Scenario Unit Sales 160 Base Variable Cost 11,500 $ 10, 350 $ 12, 650 Fixed Costs 470,000 423,000 NPV $ 451, 301.95 $ 1, 166, 502.58 $ -195, 607.59 Best 176 Worst $ 517,000 b. Evaluate the sensitivity of your base-case NPV to changes in fixed costs. (Negative answers should be indicated by a minus sign. Do not round intermediate calculations. Round the final answer to 3 decimal places. Omit $ sign in your response.) ANPV/AFC $ -1.856 c. What is the cash break-even level of output for this project (ignoring taxes)? (Round the final answers to the nearest whole unit.) Cash break-even 55.00 units d-1. What is the accounting break-even level of output for this project? (Round the final answers to the nearest whole unit.) Accounting break-even 102.35 units d-2. What is the degree of operating leverage at the accounting break-even point? (Round the final answer to 4 decimal places.) Degree of operating leverage 2.1750