Can someone please explain the steps on how to set this up in excel??

A Company has developed a new finance calculator that has the option of using Excel protocols for discounted cash flow valuation projects as well as corresponding screen graphics. The projected unit sales for the next five years are as follows:

Year Unit Sales

1.) 71,000

2.) 84,000

3.) 103,000

4.) 4% greater than year 3

5.) 3% greater than year 4

The production of the calculators will require $3.2 million in net working capital intially as well as 12.5% of the projected sales increase for the following year. Note: The initial NWC as well as the additional NWC in years 1-4, in total, will be recovered in year 5.

The cost for new equipment for the project will be $16 million In five years this equipment is projected be sold for 15% of its original cost

Total fixed costs are projected to be $4 million/year Variable production costs are projected at $290 per unit The sale price per unit is estimated to be $425 each for the five year period to maximize sales growth.

The Depreciation class was determined to be based on the 7 year MACRS The Tax rate is 21% The required rate of return is 25% Create a spreadsheet for analysis of the project Identify all above parameters in the spreadsheet

Calculate the IRR in the Spreadsheet, Calculate the NPV in the Spreadsheet, Calculate the Payback in the Spreadsheet