Question: Please show work Consider the following base case proposal for an investment in a plant in Georgia: $16 $5 Capital investment Project life in years

 Please show work Consider the following base case proposal for an

Please show work

Consider the following base case proposal for an investment in a plant in Georgia: $16 $5 Capital investment Project life in years Depreciation method Unit sales p.a Total fixed costs p.a. $5,000,000 5 Straight-line 200,000 $300,000 Unit sales price Unit variable cost Tax rate Cost of funds 30% 15% Required: Complete the base case, best case and worst case scenarios, assuming the unit sales price, and the variable and fixed cost estimates are only accurate to within +/- 20% of the base case estimates. Use the template that we used in class to complete this exercise. (See Solution to Chapter 11, Problem no. 6 for the template.)

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