McGilla Golf has decided to sell a new line of golf clubs. The clubs will sell

McGilla Golf has decided to sell a new line of golf clubs. The clubs will sell for $900 per set and have a variable cost of $400 per set. The
company has spent $172000 for a marketing study that determined the company will sell 62000 sets per year for seven years. The marketing
study also determined that the company will lose sales of 15000 sets of its high-priced clubs. The high-priced clubs sell at $1400 and have
variable costs of $800. The company will also increase sales of its cheap clubs by 8000 sets. The cheap clubs sell for $500 and have variable
costs of $200 per set. The fixed costs each year will be $8600000. The company has also spent $1118000 on research and development for the
new clubs. The plant and equipment required will cost $20000000 and will be depreciated on a straight-line basis. The new clubs will also
require an increase in net working capital of $1051000 that will be returned at the end of the project. The tax rate is 34 percent and the
cost of capital is 15 percent.

McGilla Golf would like to know the sensitivity of NPV to changes in the price of the new clubs and the quantity of new clubs sold. The
sensitivity of the NPV to changes in the price is $ and the sensitivity of the NPV to the quantity sold is $ . (Do not include the
dollar signs ($). Round your answers to 2 decimal places. (e.g. 32.16))

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