Question: pls help me solve this. show steps and show how to do it on financial calculator not on excel. ill thumbs up 34. Calculating a
34. Calculating a Bid Price Guthrie Enterprises needs someone to supply it with 145.000 cartons of machine screws per year to support its manufacturing needs over the next five years, and you've decided to bid on the contract. It will cost $2.1 million to install the equipment necessary to start production, you'll depreciate this cost straight-line to zero over the project's life. You estimate that in five years this equipment can be salvaged for $150,000. Your fixed production costs will be $650.000 per year, and your variable production costs should be $9.45 per carton. You also need an initial investment in net working capital of $325,000. Tf your tax rate is 21 percent and you require an Il percent return on your investment, what bid price should you submit
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