$-$ Using the WACC $10\mathrm{.}35\%,$ apply capital budgeting analysis techniques $($NPV$,$ IRR, MIRR, PI$,$ Payback, Discounted Payback$)$ to analyze the new project.

$-$ Perform a$$sensitivity analysis $($using a data table in Excel$)$for the effects of key variables $($e$.$g$.,$ sales growth rate, cost of capital, unit costs, sales price$)$ on the estimated NPV or IRR to demonstrate the model's sensitivity$.$ The$$scenario analysis$$of several variables simultaneously is preferred but not required.

$-$ Discuss whether the project should be taken and summarize your report. $(5)$ Cash Flow Estimation $(40$ points$)$

$-$ We assume that the company you selected is considering a new project. The project has an $11-$year' life. This project requires an initial investment of $\backslash (\backslash$$ $800\backslash )$ million to purchase equipment, and $\backslash (\backslash$$ $35\backslash )$ million for shipping $\backslash$& installation fees. The fixed assets fall in the $10$year MACRS class. The salvage value of the fixed assets is $\backslash (17\backslash \%\backslash )$ of the purchase price $($including the shipping $\backslash$& installation fee$).$ The number of units of the new product expected to be sold in the first year is $\backslash (3,500,000\backslash )$ and the expected annual growth rate is $\backslash (7\mathrm{.}5\backslash \%\backslash ).$ The sales price is $\backslash (\backslash$$ $305\backslash )$ per unit and the variable cost is $\backslash (\backslash$$ $250\backslash )$ per unit in the first year, but they should be adjusted accordingly based on the estimated annualized inflation rate of $\backslash (3\mathrm{.}3\backslash \%\backslash ).$ The required net operating working capital $($NOWC$)$ is $\backslash (15\mathrm{.}8\backslash \%\backslash )$ of sales. Use the corporate tax rate obtained $\backslash (3\mathrm{.}6\backslash \%\backslash ).$ The project is assumed to have the same risk as the corporation, so you should use the WACC $\backslash (10\mathrm{.}35\backslash \%\backslash )$ as the discount rate for this hypothetical project. build the capital budgeting analysis model. $,$