17 The Tuff Wheels was getting ready to start its development project for a new product to be added to its small motorized vehicle line for children. The new product is called the Kiddy Dozer. It will look like a miniature bulldozer, complete with caterpillar tracks and a blade. Tuff Wheels has forecasted the demand and the cost to develop and produce the new Kiddy Dozer. The following table contains the relevant information for this project 56 Book Print Development cost Estimated development time pilot testing Ramp-up cost Marketing and support cost Sales and production volume Unit production cost Unit price Interest rate $1,100,000 9 months $ 200,000 $400,000 $ 150,000 per year 60,000 per year $ 100 190 8. References Check my work 17 Tuff Wheels also has provided the project plan shown as follows. As can be seen in the project plan, the company thinks that the product life will be three years until a new product must be created, YANI YAX2 YER YA 9999999999999 Porec SCHEDULE Koo Do Development Plot Testing Ramp up Marketing and Support Production and Sales 2 ebook Print Merences Assume all cash flows occur at the end of each period. Check my work 17 c. Based on the original sales level of 60,000, what is the effect on NPV caused by changing the discount rate to 9%, 10%, or 11%? (Enter your answer in thousands of dollars. Perform all calculations using Excel. Do not round any Intermediate calculations. Round your answer to the nearest thousand.) 66 oints NPV 9% NPV 10% NPV 11% ebook