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You are the financial analyst for a tennis racket manufacturer. The company is considering using a graphitelike material in its tennis rackets. The company has

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You are the financial analyst for a tennis racket manufacturer. The company is considering using a graphitelike material in its tennis rackets. The company has estimated the information in the following table about the market for a racket with the new material. The company expects to sell the racket for 6 years. The equipment required for the project will be depreciated on a straight-line basis and has no salvage value. The required return for projects of this type is 13 percent and the company has a 21 percent tax rate w Pessimistic Expected Optimistic Market size 116,000 126,000 138,000 Market share 19% 23% 25% Selling price $ 166 $ 171 $ 175 Variable costs per $ 109 $ 105 $ unit 102 Fixed costs per year $ 981,000 $ 926,000 $ 896,000 Initial investment $1,986,000 $1,836,000 $1,816,000 Calculate the NPV for each case for this project. Assume a negative taxable income generates a tax credit. (A negative amount should be indicated by a minus sign. Do not round intermediate calculations and round your answers to 2 decimal places, e.g.. 32.16.) Pessimistic Expected Optimistic

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