regular automation

unit sales 1st year 1700 1700

unit price 1st year 1850 1850
sales growth 1 1
unit manufacturing cost 1000 800
price decline per year 0.15 0.15
Manu. Cost decline 0.06 0.06
fixed cost 1000000 2000000
marketing 0.14

Regular year 1 2 3 4
unit price 1850 1572.5 1336.625 1136.131
unit sales 1700 3400 6800 13600
Revenue 3145000 5346500 9089050 15451385
unit manufacturing cost 1000 940 883.6 830.584
Total variable cost 1700000 3196000 6008480 11295942
marketing expense 440300 748510 1272467 2163194
fixed cost 1000000 1000000 1000000 1000000
Profit before tax 4700 401990 808103 992248.7

Automation
unit price 1850 1572.5 1336.625 1136.131
unit sales 1700 3400 6800 13600
Revenue 3145000 5346500 9089050 15451385
unit manufacturing cost 800 752 706.88 664.4672
Total variable cost 1360000 2556800 4806784 9036754
marketing expense 440300 748510 1272467 2163194
fixed cost 2000000 2000000 2000000 2000000
Profit before tax -655300 41190 1009799 2251437

Automate? NO NO Yes Yes

Actual PBT 4700 401990 1009799 2251437
 Discount rate 0.15
NPV $4,049,522.56 sales growth $4,049,522.56
0.5 4049522.559267
0.55 4049522.559267
0.6 4049522.559267
0.65 4049522.559267
0.7 4049522.559267
0.75 4049522.559267
0.8 4049522.559267
5 0.85 4049522.559267
965.7116 0.9 4049522.559267
27200 0.95 4049522.559267
26267355 1 4049522.559267
780.749
21236372
3677430
1000000
353553.2

965.7116
27200
26267355
624.5992
16989097
3677430
2000000
3600828

Yes
3600828