Question: need help with a, b, c, d in the format shown below Initial investment at various sale prices Edwards Manufacturing Company (EMC) is considering replacing

need help with a, b, c, d in the format shown below
need help with a, b, c, d in the format shown below

Initial investment at various sale prices Edwards Manufacturing Company (EMC) is considering replacing one machine with another. The old machine was purchased 3 years ago for an installed cost of $10,000. The firm is depreciating the machine under MACRS, using a 5-year recovery period. (See table for the applicable depreciation percentages.) The new machine costs $23,900 and requires 52,070 in installation costs. The firm is subject to a 40% tax rate. In each of the following cases, calculate the initial investment for the replacement a. EMC sells the old machine for $12,300. b. EMC sells the old machine for $6,920 c. EMC sells the old machine for $2,900 d. EMC sells the old machine for $1,500 Calculate the initial investment at various sale prices below a. EMC sells the old machine for $12,300 (Round to the nearest dollar.) (a) Cost of new asset S Installation cost Total installed cost 5 5 Proceeds from sale of old asset Tax on sale of old asset Total after-tax proceeds $ $ Initial investment $ brary Data table - X kulator ources (Click on the icon here in order to copy the contents of the data table below into a spreadsheet.) ody Mod otion Too 259 Rounded Depreciation Percentages by Recovery Year Using MACRS for First Four Property Classes Percentage by recovery year Recovery year 3 years 5 years 7 years 33% 20% 14 2 45% 324 3 15 19% 189 4 75 129 12 5 129 9 ON 7 9 49 9 10 11 Total 100% 100N 1001 10 years 109 18% 149 1295 9 59 7 6 0 09 View an example wer 100

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