1 2. The company is considering a project involving the purchase of new equipment. Change the data area of your worksheet to match the following: Use Exhibit 14B-1 and Exhibit 14B-2. (Use appropriate factor(s) from the tables provided.) 12 points B 1 Chapter 14: Applying Excel 2 $ 470,000 30,000 $ $ 35,000 3 Data 4 Example E 5 Cost of equipment needed 6 Working capital needed 7 Overhaul of equipment in four years 8 Salvage value of the equipment in five years 9 Annual revenues and costs: 10 Sales revenues 11 Cost of goods sold 12 Out-of-pocket operating costs 13 Discount rate $ 40,000 $ $ $ 410,000 230,000 60,000 10% 1 Required information Answer is complete and correct. 12 points Net present value (25,515) c. The internal rate of return is between what two whole discount rates (e.g., between 10% and 11%, between 11% and 12%, between 12% and 13%, between 13% and 14%, etc.)? Answer is complete but not entirely correct. The internal rate of return is between 10 X % and 11 X % d. Reset the discount rate to 10%. Suppose the salvage value is uncertain. How large would the salvage value have to be to result in a positive net present value? Answer is complete and correct. Minimum salvage value required to generate a positive present value $ 81,087