Question: please solve it in excel with attaching the equations used You are buying a new computer-aided drafting and design system for your business that costs

please solve it in excel with attaching the equations used You arebuying a new computer-aided drafting and design system for your business thatplease solve it in excel with attaching the equations used

You are buying a new computer-aided drafting and design system for your business that costs $100,000 today. To use this system fully, you must invest an additional $25,000 in training costs. You finance $80,000 of the total investment cost at an effective annual interest rate of 8%, payable in five annual payments. The manufacturer has guaranteed you a salvage value of $20,000 for the system at the end of 5 years. The incremental cash flows generated with this system include $800,000 in annual revenues and $200,000 in annual noncapital expenses. Your MARR is 12%. Use the MACRS tax depreciation schedule in Example 3.1 and a marginal tax rate of 34%. The estimated general inflation rate is 4.5%. Develop the income and cash flow statement and the resulting NPV of this investment. Note that MARR is often adjusted for inflation. Typically, i= MARR with inflation i= MARR without inflation, i

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