We are evaluating a project that costs $710,000, has a life of
nine years, and has no salvage value. Assume that depreciation is
straight-line to zero over the life of the project. Sales are
projected at 122,000 units per year. Price per unit is $43,
variable cost per unit is $21, and fixed costs are $714,970 per
year. The tax rate is 24 percent, and we require a return of 13
percent on this project. The projections given for price,...