Question: Need to understand how this gets put into excel, i struggle greatly with apply the work to spreadsheets P113 Replacement versus expansion cash ows Tesla

Need to understand how this gets put into excel, i struggle greatly with apply the work to spreadsheets

P113 Replacement versus expansion cash ows Tesla Systems has estimated the cash flows over the 5-year lives for two projects, A and B. These cash flows are summa- rized in the table below. Project A Project B Initial investment -$4,65 0,000 $1,550,000 Year Operating cash inows 1 $ 5 6 0,000 $380,000 2 925,000 380,000 3 1,350,000 380,000 4 2,225,000 3 80,000 5 3,400,000 380,000 a. If project A, which requires an initial investment of $4,650,000, is a replacement for project B and the $1,5 5 0,000 initial investment shown for project B is the after-tax cash inow expected from liquidating project B, what would be the net cash flows for this replacement decision? b. Instead, if project A is an expansion decision, What would be the net cash flows and how can it be viewed as a special form of a replacement decision? Explain
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