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, a) b) c) What is the AW of the ATCF of Design A What is the AW of the ATCF of Design B Which design should be chosen if repeatability assumption applies? d) What is the EVA of Design B in year 4? Capital investment MV at end of useful life Annual revenues less expenses MACRS property class (years) useful life (years) Design A $1,000,000 $1,000,000 $200,000 5 7 Design B $2,000,000 $1,100,000 $400,000 5 6 Please round your answer to nearest ingeter 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, a) b) c) What is the AW of the ATCF of Design A What is the AW of the ATCF of Design B Which design should be chosen if repeatability assumption applies? d) What is the EVA of Design B in year 4? Capital investment MV at end of useful life Annual revenues less expenses MACRS property class (years) useful life (years) Design A $1,000,000 $1,000,000 $200,000 5 7 Design B $2,000,000 $1,100,000 $400,000 5 6 Please round your answer to nearest ingeter