Aria Acoustics, Inc. (AAI), projects unit sales for a new seven-octave voice emulation implant as follows: Year Unit...

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Aria Acoustics, Inc. (AAI), projects unit sales for a newseven-octave voice emulation implant as follows:
Year Unit Sales
1 73,000
2 86,000
3 105,000
4 97,000
5 67,000
Production of the implants will require $1,500,000 in networking capital to start and additional net working capitalinvestments each year equal to 15 percent of the projected salesincrease for the following year. Total fixed costs are $3,200,000per year, variable production costs are $255 per unit, and theunits are priced at $375 each. The equipment needed to beginproduction has an installed cost of $16,500,000. Because theimplants are intended for professional singers, this equipment isconsidered industrial machinery and thus qualifies as seven-yearMACRS property (MACRS schedule). In five years, this equipment canbe sold for about 20 percent of its acquisition cost. The tax rateis 21 percent tax and the required return is 18 percent.
a. What is the NPV of the project? (Do not roundintermediate calculations and round your answer to 2 decimalplaces, e.g., 32.16.)
b.
What is the IRR? (Do not round intermediate calculationsand enter your answer as a percent rounded to 2 decimal places,e.g., 32.16.)

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Aria Acoustics, Inc. (AAI), projects unit sales for a newseven-octave voice emulation implant as follows:YearUnit Sales173,000286,0003105,000497,000567,000Production of the implants will require $1,500,000 in networking capital to start and additional net working capitalinvestments each year equal to 15 percent of the projected salesincrease for the following year. Total fixed costs are $3,200,000per year, variable production costs are $255 per unit, and theunits are priced at $375 each. The equipment needed to beginproduction has an installed cost of $16,500,000. Because theimplants are intended for professional singers, this equipment isconsidered industrial machinery and thus qualifies as seven-yearMACRS property (MACRS schedule). In five years, this equipment canbe sold for about 20 percent of its acquisition cost. The tax rateis 21 percent tax and the required return is 18 percent.a.What is the NPV of the project? (Do not roundintermediate calculations and round your answer to 2 decimalplaces, e.g., 32.16.)b.What is the IRR? (Do not round intermediate calculationsand enter your answer as a percent rounded to 2 decimal places,e.g., 32.16.)

a.	What is the NPV of the project? (Do not roundintermediate calculations and round your answer to 2 decimalplaces, e.g., 32.16.)
b.	What is the IRR? (Do not round intermediate calculationsand enter your answer as a percent rounded to 2 decimal places,e.g., 32.16.)