A firm is considering bidding on a project to produce eight widgets per year for

A firm is considering bidding on a project to produce eight widgets per year for the next four years. In order to complete the project the firm must lease facilities for $30000 per year purchase equipment that costs $100000 as well as pay labour and material costs of $19000 per unit produced. The equipment can be depreciated at the Class 8 CCA rate of 20%. At the end of the fourth year it can be sold for $10000 and the asset class will remain open after the disposal of the equipment. In addition net working capital will increase by $50000 if the project is undertaken but these can be recovered at the end of the project. The companys tax rate is 40%.What is the minimum bid per widget if the firm requires 18% return on its investment?