Your company has been doing well, reaching $1.03 million in ededingt, and is considering launcheng a new product. Designing the new product has already cost $544,000. The compacy esiomates that it with sel B19,000 units per yoar for $3.5 per unt and varable nonlabor costs will be 51.02 per unit. Production will end after ynar 3 . New equpment costing 51.19 mation will be required. The ocuipment wil be deprecisted to zero uning the 7year MACHS schedule. You plan to sell the equpment for book value od the cod of year-3. Your curtent level of wonking capital is $309,000. The new product wil require the working capital to increase to a level of $374,000 inmedately, then to $391,000 in year 1 , in year 2 the level will be $341,000, and finaly in year 3 the level wal retum to $309.000. Your tax nate is 21\%. The discount rath for this project is 10.1%. Do the capial budgeting analysis for this project and calcilate its NPV Note: Aseume that the equpmont is put into use in year 1 Design aleady tappened and is (irrelevant). (Gelect from the dico-down meru) Your company has been doing wel, reaching $1.05 milion in eamings, and is considering launching a new product. Designing the new product has ateady cost \$470.000. The company estimates that it will seli 869,000 units per year for $293 per init and varable nontabor costs will be $1.06 pet unt. Production will eed after year 3 New equipment costing $1. 16 million will be required. The equipment wil be depredated to zero uting the 7-yoar MACirs schedule. You plan to sell the equipment for book value at the end of year 3 Your current level of working capital is 5295 , oco. The 5295.000 Your tac rate is 21\%. The discourt tase foe this project is 9.6F. Do the capial beidgetng aralyais for this project ind calculate its Npy Nete 'Assume that the equigerent is put irdo iste in year 1 . Design already happened and it (irtelevant). (Select from the drop-down menu)