A firm must decide between two silicon layer chip designs from Intel. Their effective income tax rate is 40%, and MACRS-GDS depreciation is used.

Problem 2 (3 points) 2.1 A firm must decide between two silicon layer chip designs from Intel. Their effective income tax rate is 40%, and MACRS-GDS depreciation is used. If the desired after-tax return on investment is 10% per year, Design A: . Capital investment: $1,610,000 MV at end of useful life: $892,500 Annual revenues less expenses: $360,000 . MACRS property class (years): 5 useful life (years): 7 Design B: - Capital investment: $2,300,000 MV at end of useful life: $935,000 Annual revenues less expenses: $660,000 - MACRS property class (years): 5 useful life (years): 6 1) What is the AW of the ATCF of Design A