You cannot use financial calculators to solve the HW$.$ You need to use the formulas provided in class and in the textbook $($if you use the formulas provided by the calculator, no credit will be given$).$ Can do by hand or excel, but must show work.

Problem $13\mathrm{.}25($Total $2$ points$)$: A bioengineer is evaluating methods used to apply an adhesive to microporous paper tape that is commonly used after surgery. The machinery costs $$200,000,$ has no salvage value and the CFBT estimate is $$75,000$ per year up to $10$ years. The $Te=38\%$ and $i=8\%$ per year. The two depreciation methods to consider are MACRS with $n=5$ years and SL with $n=8$ years. For a study period of $8$ years, $($a$)$ determine which depreciation method and recovery period offers the better tax advantage, and $($b$)$ demonstrated that the same total taxes are paid for MACRS and SL depreciation.