Your team is evaluating a project in which its fixed assets would cost $750,000 and be depreciated straight-line over five years to $0 book value. You estimate $45,000 in yearly after-tax operating costs. The required return is 15.0 percent, and the firm pays a 21.0 percent tax rate. What is the equivalent annual cost of this project?

I KNOW CORRECT ANSWERS IS

$307,699.01

BUT DN'T KNOW HOW TO DO IT

PLEASE DO IT STEP BY STEP IN EXCEL

SECOND QUESTION IS:

PLEASE EXLAIN STEP BY STEP IN EXCEL :)

Your firm recently spent $25,000 on 3-year MACRS machinery. The MACRS rates are 33.33 percent, 44.44 percent, 14.82 percent, and 7.41 percent for Years 1 to 4, respectively. What is the amount of the depreciation expense for Year 2? Ignore bonus depreciation.