We are evaluating a project that costs $$940,000,$ has a life of eleven years, and has no salvage value. Assume that depreciation is straight$-$line to zero over the life of the project. Sales are projected at $115,000$ units per year. Price per unit is $$37,$ variable cost per unit is $$28,$ and fixed costs are $$957,860$ per year. The tax rate is $25$ percent, and we require a return of $12$ percent on this project. The projections given for price, quantity, variable costs, and fixed costs are all accurate to within $\frac{+}{-}18$ percent.

a$.$ Calculate the best$-$case NPV$.$

Best case

b$.$ Calculate the worst$-$case NPV$.$

Worst case