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You are evaluating a project for your company. You estimate the sales price to be $630 per unit and sales volume to be 3300 unts

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You are evaluating a project for your company. You estimate the sales price to be $630 per unit and sales volume to be 3300 unts hy \pm 14300 units in year 2; and 2,800 units in year 3. The project has a three-year life. Variable costs amount to $430 per unt and fred costs are $255000 pe year. The project requires an initial investment of $390,000 in assets which will be depreciated straight-line to zero ove the treeyer proed le The actual market value of these assets at the end of year 3 is expected to be $63,000. NWC requirements at the begining of each yer wil be approximately 30 percent of the projected sales during the coming year. The tax rate is 21 percent and the required retum on the projedi 9 pecst. What change in NWC occurs at the end of year

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