Please use excel to solve all problems and show all formulas

2. The Salida Salt Company is considering making a bid to supply the highway department with rock salt to drop on roads in the county duringthe winter. The contract will guarantee a minimum of 25,000 tons in each year, but the actual quantity may be above that amount if conditions warrant. Management believes that the actual quantity will average 40,000 tons per year. The firm will need an initial $2,300,000 investment in processing equipment to get the project started. The contract will last for five years and is not expected to be renewed. The accounting department has estimated that annual fixed costs will be $500,000 and that variable costs should be about $94 per ton of the final product. The new equipment IIl Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Duc to electronic rights, some third party conteat may be suppressed from the eBook and or eChapteris). ressed content does not materially affect the overall leaming experience. Cengage Leaming reserves the right to remove additional content at any time if subsequent rights restrictions require pital Budgeting will be depreciated using MACRS with a class life of five years. At the end of the project, it is estimated that the equipment could be sold for $150,000. The marketing department estimates that the state will grant the contract at a selling price of $125 per ton, though it may get some lower bids if the contract is opened for competitive bidding. The engineering department estimates that the project will need an initial net working capital investment of $115,000. The firm's WACC is 12%, and the marginal tax rate is 35%. a. Set up a worksheet containing all of the relevant information in this problem, and operating cash flow statement that shows the total annual cash flows for each year, including the initial outlay. b. Calculate the payback period, discounted payback period, NPV, IRR, and MIRR of this project. Is the project acceptable