The products manufactured using the new technology areexpected tosell for an ave

The products manufactured using the new technology areexpected tosell for an average price of $300 perunit and thecompany analyst performing theanalysis expects thefirm can sell 20000 unitsper year at this price for aperiod of fiveyears. To get into this business will requirethepurchase of a $2 million piece of equipment thathasa residual or salvage value in five years of$200000. Inaddition the firm expects to haveto invest an additional$300000 in workingcapital to support the newbusiness. Otherpertinent information concerning thebusinessventure is provided below: