Question: please workout and show formuls and solutions in excel spreadsheet! 10.4 A new absorption chiller system costs $360,000 and will save $52,500 in each of
10.4 A new absorption chiller system costs $360,000 and will save $52,500 in each of the next 12 years. The asset is classified as a seven-year MACRS property for depreciation purpose. The expected salvage value is $20,000. The firm pays taxes at a combined rate of 40% and has an MARR of 12%. What is the net present worth of the system? (a) $46,725 (b)-$63,739 (c) $62,112 (d) $53,317
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