Question: Problem 7 - 2 Scenario Analysis We are evaluating a project that costs $ 5 2 0 , 0 0 0 , has a life
Problem Scenario Analysis
We are evaluating a project that costs $ has a life of years, and has no
salvage value. Assume that depreciation is straightline to zero over the life of the
project. Sales are projected at units per year. Price per unit is $ variable
cost per unit is $ and fixed costs are $ per year. The tax rate is percent,
and we require a return of percent on this project. Suppose the projections given
for price, quantity, variable costs, and fixed costs are all accurate to within
percent. Calculate the bestcase and worstcase NPV figures. A negative answer
should be indicated by a minus sign. Do not round intermediate calculations and
round your answers to decimal places, eg Please solve this correctly I have had to re ask the question a few times
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