Arroy Snackfoods is considering replacing a five$-$year$-$old machine that originally cost $$75,000.$ It was being depreciated using straight$-$line to an expected salvage value of zero over its original $10-$year life, and could now be sold for $$40,000.$ The replacement machine would cost $$215,000$ and have a five$-$year expected life. It would be depreciated using the MACRS $5-$year class life. The expected salvage value of this machine after $5$ years is $$30,000.$ The new machine is expected to operate much more efficiently, saving $$6,000$ per year in energy costs. In addition, it will eliminate one salaried position saving another $$68,000$ annually. The firm$$s marginal tax rate is $25\%$ and the WACC is $9\mathrm{.}5\%.$

A$.$ Set up an operating cash flow statement, and calculate the payback, discounted payback, NPV$,$ IRR, and MIRR of the replacement project. Should the project be accepted?

B$.$ At what discount rate would you be indifferent between keeping the existing equipment and purchasing the new equipment?

Please do in Excel, all highlighted cells, and show formulas. Thanks you!