PLEASE ANSWER QUESTION WITH FORMULAS

1. Complete the capital budgeting methods 7 1 FILE HOME Comparison of Capital Budgeting Multos Escal REVIEW VW INSERT PAGE LAYOUT FORMULAS DATA Account Autom - Wrap Text BIVA. SEE Merge Center fort Aligt Conditional Format Call Formatting Table Styles $.$. ut Delete Tomat EN JA Son 823 1 c D 3 E 1 Laurman, Inc. is considering the following project: 2 Required investment in equipment 3 Project life 4 Salvage value 5 1,750.000 5 year 225 DOO 5 5 2,750.000 100 1.150.000 9 5 $ The project would provide net operating income each year as follows 7 Sales Variable expenses Contribution margin 10 Pred expenses 11 Salaries, rent and other fixed out of pocket costs 12 Depreciation 13 Total fized expenses 1 Net operating income 15 16 Cost of Capital 17 320,000 350,000 820.00 1280000 s 18% HOME WERT PAGE LAYOUT FORMULAS DATA REVIEW VIEW t Accounting . 27 Sort & TU Wiap Text sa e Merge Center Aliga A 5.%. * Conditional Formatas Formatting Table Styles sert Del format For 23 A C D F 0 2. Complete the following timeline to compute the net present value of the future cash flows for this project. Don't forget to include the salvugo value in year 5. Year 2 Net cash flow Discount Pactor Cro) 1.000 Present value of the cash flows Net present value 3. Use Excel, NPV function to compute the present value of the cash flows from years 15. Do not include the original investment at time zero NPV of Cash Flows from Years 1.5 Deduct the cost of the investment Net present value Write an ifthen statement 10 ACCEPT OF REJECT the project based on NPV 4. Use Excel IRR function to compute the project's internal rate of retum Write an it then statement to ACCEPT OF REJECT the project based on ERR 5. Compute the project's payback period. 6 Computo the project's accounting rate of return year Sheets