5. 13.17 (Spreadsheet exercise) Develop a spreadsheet that includes cash flow, PW, and ROR values for both

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5. 13.17 (Spreadsheet exercise) Develop a spreadsheet that includes cash flow, PW, and ROR values for both before-tax and after-tax analyses. Was the equipment purchase justified in both analyses? (Note: If you worked 13.14(b), the CFAT series is already developed.) 6. 13.18 Fill in the missing values in the table below for the CFBT, D, TI, Taxes, and CFAT columns. Depreciation amounts are based on 3-year MACRS depreciation and the effective tax rate is 25%. Table Summary: Table divided into nine columns shows depreciation amounts to calculate the tax value. The column headers are marked from left to right as: year; GI, in dollars; E, in dollar; P and S, in dollars; CFBT, in dollars; D, in dollars; TI, in dollars; taxes, in dollars; and CFAT, in dollars. Year GI, $ E, $ P and S, $ CFBT, $ D, $ TI, $ Taxes, $ CFAT, $ 0 −1900 −1900 −1900 1 800 −100 0 700 633 67 17 683 2 950 −150 0 ? ? −45 ? 811 3 600 −200 0 400 281 ? 30 ? 4 300 −250 0 50 ? −91 −23 73

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Basics Of Engineering Economy

ISBN: 9781259683312

3rd Edition

Authors: Leland T. Blank, Anthony Tarquin

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