Question: Problem 9-19 Scenario Analysis [LO 3] We are evaluating a project that costs $1,160,000, has a five-year life, and has no salvage value. Assume that

 Problem 9-19 Scenario Analysis [LO 3] We are evaluating a project

Problem 9-19 Scenario Analysis [LO 3] We are evaluating a project that costs $1,160,000, has a five-year life, and has no salvage value. Assume that depreciation is straight-line to zero over the life of the project. Sales are projected at 87,700 units per year. Price per unit is $34.60, variable cost per unit is $20.85, and fixed costs are $757,000 per year. The tax rate is 30 percent, and we require a return of 10 percent on this project. Suppose the projections given for price, quantity, variable costs, and fixed costs are all accurate to within 110 percent. Calculate the best-case and worst-case NPV figures. (A negative answer should be indicated by a minus sign. Enter your answers in dollars, not millions of dollars, e.g. 1,234,567. Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) NPV $ 1795263 Best-case Worst-case

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