How do I go about doing this in excel? Please have explanations as well as excel formulas. Thank You

ABC uses straight-line depreciation, assuming zero terminal disposal value. Assume no changes in prices or costs during future years. The investment will be made at the beginning of 2021 and all cash flows after that are assumed to occur on the last day of each year. ABC's required rate of return is 12%. Assume an income tax rate of 20%. Proceeds from sales of equipment above book value are taxed at the same 20% rate. Required: 1. Using Excel functions, calculate the net present value and the project profitability index (PPT) for the update and replace alternatives. 2. Using Excel functions, calculate the internal rate of return for both the update and replace alternatives. 3. Calculate the payback period for the update and replace alternatives. 4. Based on the results, which option should ABC choose? Specifically explain why. A E A B D E Excel Assignment #2 (Check Figures using Excel formulas): 2 Net Present Value of Update Option $ 2,638,708 4 5 Net Present Value of Replace Option $ 14,787,992 3 ABC uses straight-line depreciation, assuming zero terminal disposal value. Assume no changes in prices or costs during future years. The investment will be made at the beginning of 2021 and all cash flows after that are assumed to occur on the last day of each year. ABC's required rate of return is 12%. Assume an income tax rate of 20%. Proceeds from sales of equipment above book value are taxed at the same 20% rate. Required: 1. Using Excel functions, calculate the net present value and the project profitability index (PPT) for the update and replace alternatives. 2. Using Excel functions, calculate the internal rate of return for both the update and replace alternatives. 3. Calculate the payback period for the update and replace alternatives. 4. Based on the results, which option should ABC choose? Specifically explain why. A E A B D E Excel Assignment #2 (Check Figures using Excel formulas): 2 Net Present Value of Update Option $ 2,638,708 4 5 Net Present Value of Replace Option $ 14,787,992 3