Please complete using Excel with formulas included. Thanks!

Both machines can be depreciated using straight-line depreciation over a 5-year period. Book value should 0 at the end of 5 years. The tax rate is 30% o If Net Income is negative, assume a tax of 0 (i.e. the government will not pay you if you lose money, and there are no tax-loss carry forwards) The discount rate is 6% You expect to sell 400,000 widgets (if you are able to produce that many) . o Assume you can only buy one machine Compute the NPV and IRR of both projects. (1 point) Which project should you take according to the NPV rule? (0.25 points) Which project should you take according to the IRR rule? (0.25 points) Based on your answer to question B and C, explain which project you should take. If your NPV and IRR rule give different rankings, explain why they give different rankings (you answer should relate specifically to this example), and why you chose one criteria over the other. (0.5 points) Compare the differential NPV of Machine B and Machine A as the number of widgets produced varies from 200,000 to 700,000 in increments of 100,000. (0.5 points) Intuitively explain why the differential is so sensitive to level of widget production. Your explanation should include two factors. (0.5 points) a. b. c. d. e. f