Depreciation for project with required investment

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Reference no: EM131852761

What is the NPV using the accelerated depreciation for project with required investment of $10,000, WACC 11%, Tax rate 40%; Yr 1 unit sales 5,500, sales price 42.57, variable cost per unit 22.83, fixed operating cost 66,750, accelerated depreciation rate 33%: Yr 2 unit sales 5,200 sales price 43.55, variable cost per unit 22.97, fixed operating cost 68,950, accelerated depreciation rate 45%; Yr 3 unit sales 5,700, sales price 44.76, variable cost per unit 23.45, fixed operating cost 69,690, accelerated depreciation rate 15%; Yr 4 unit sales 5,820, sales price 46.79, variable cost per unit 23.87, fixed operating cost 68,900, accelerated depreciation rate 7%.

Reference no: EM131852761

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