THIS QUESTION REQUIRES TO USE EXCEL .

AutoSave OFF OFF $ BUS37352021FINAL-makeup-richards-3.doc - Recovered - Compatibility Mode Insert Home - Draw Design Layout References Mailings Review View Tell me Share Comments y X LE Palatino Lin... 10 - A A Aa B B I U 36 x x A EE11 Aalde Aa BbCcDc AabhccDdE AaBbCcDc AaBaDee Nammal Headina Heading 2 Title Suht Paste A ; 8 Emphasis Dictate Sensitivity Sty es Pere 21) EIF Manufacturing Company needs to overhaul its drill press or buy a new one. The facts have been gathered, and they are as follows: 5 Purchase Price, New Current book value Overhaul needed now Annual cash operating costs Current salvage value Salvage value in five years Current Machine New Machine $88,000 $110,000 33,000 44,000 77,000 44,000 22,000 5,500 22,000 6 Required: Which alternative is the most desirable based on (a) net present value with a current required rate of return of 20%, and, (b) the payback period? Show computations, and assume no taxes. 7 22) Griffith Vehicle has received three proposals for its new vehicle-painting machine. Information on each proposal is as follows: Initial investment in equipment Working capital needed Annual cash saved by operations: Year 1 Proposal X Proposal Y Proposal z $240,000 $150,000 $190,000 0 10,000 80,000 50,000 80,000 Focus 3 Page 5 of 13 92 of 24'14 words English (United States) + 194% AutoSave OFF OFF $ BUS37352021FINAL-makeup-richards-3.doc - Recovered - Compatibility Mode Insert Home - Draw Design Layout References Mailings Review View Tell me Share Comments y X LE Palatino Lin... 10 - A A Aa B B I U 36 x x A EE11 Aalde Aa BbCcDc AabhccDdE AaBbCcDc AaBaDee Nammal Headina Heading 2 Title Suht Paste A ; 8 Emphasis Dictate Sensitivity Sty es Pere 21) EIF Manufacturing Company needs to overhaul its drill press or buy a new one. The facts have been gathered, and they are as follows: 5 Purchase Price, New Current book value Overhaul needed now Annual cash operating costs Current salvage value Salvage value in five years Current Machine New Machine $88,000 $110,000 33,000 44,000 77,000 44,000 22,000 5,500 22,000 6 Required: Which alternative is the most desirable based on (a) net present value with a current required rate of return of 20%, and, (b) the payback period? Show computations, and assume no taxes. 7 22) Griffith Vehicle has received three proposals for its new vehicle-painting machine. Information on each proposal is as follows: Initial investment in equipment Working capital needed Annual cash saved by operations: Year 1 Proposal X Proposal Y Proposal z $240,000 $150,000 $190,000 0 10,000 80,000 50,000 80,000 Focus 3 Page 5 of 13 92 of 24'14 words English (United States) + 194%