Please Provide all formulas used. My course requires the use of formulas even when they are not needed or there is a quicker way. Thanks!

O PROTECTED VIEW Be carefulfiles from the Internet can contain viruses. Unless you need to edit, it's safer to stay in Protected View. Enable Editing Paste Calibri (Body) 11 Uab X x A A LA Aa A A Font Paragraph Styles Editing Dictate Sensitivity Editor La Reuse Files F G J L Undo Clipboard Styles Voice Sensitivity Editor Reuse Files 4. You are considering the following investment: (10 points) 4 5 6 7 3,100 3,000 2,900 2,500 H10 fx A B D 1 DEPRECIATION SCHEDULE 2 3 Year 0 1 2 3 4 Earnings before depreciation and taxes 3,200 3,450 4.200 5 Depreciation 6 Earnings before taxes 7 Tax (34%) 8 Net operating profit after tax 9 Capital investment (no salvage value) -12,460 10 Add back depreciation 11 Free cash flow 12 13 Discount rate 11% 14 NPV 15 0 F G H ! B D E DEPRECIATION SCHEDULE 0 3,200 2 3,450 3 4.200 4 5 6 7 3,100 3.000 2,900 2.500 3 Year 4 Earnings before depreciation and taxes 5 Depreciation B Earnings before taxes 7 Tax (34%) 8 Net operating profit after tax 9 Capital investment (no salvage value) 10 Add back depreciation 11 Free cash flow 12 13 Discount rate 14 NPV -12.460 11% a. Assuming that the investment can be depreciated using 7-year straight-line depreciation with no salvage value, calculate the project NPV. 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 b. What will be the company's gain in present value if it uses a 7-year modified accelerated depreciation (MACRS) schedule, given below: 17 Year 18 MACRS depreciation B 0 C D E F G H J 1 2 3 4 5 6 7 8 14.29% 24.49% 17.49% 12.49% 8.93% 8.93% 8.93% 4,45%