Question: A Moving to another question will save this response Question 46 of 55 Question 46 10 points Save Answer We believe we can sell 75,000

 A Moving to another question will save this response Question 46

A Moving to another question will save this response Question 46 of 55 Question 46 10 points Save Answer We believe we can sell 75,000 home security devices per year at $200 per piece. They cost $120 to manufacture (variable cost). Fixed production costs run $215,000 per year. The necessary equipment costs $785,000 to buy and would be depreciated at a 25 CCA rate. The equipment would have a zero salvage value after the five-year life of the project. We need to invest $140,000 in networking capital up front no additional networking capital investment is necessary. The discount rate is 19%, and the tax rate is 35% What is the NPV of the project? (Do not round your intermediate calculations. Round the final answer to 2 decimal places. Omit sign in your response) Question 46 of 555

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